Evening Edition

Evening Edition is an Open Thread

Now with 45 Top Stories.

From Yahoo News Top Stories

1 NATO bombs rock Tripoli, Libya rebels hail advance

by W.G. Dunlop, AFP

37 mins ago

TRIPOLI (AFP) – A NATO bombing blitz, which the alliance insisted was not aimed at Moamer Kadhafi, rocked Tripoli on Tuesday, as rebels in besieged Misrata claimed to be pushing back the Libyan strongman’s forces.

The United Nations, meanwhile, said the offensive launched by Kadhafi’s forces was paralysing the oil-rich nation and causing the population to suffer widespread shortages of essential goods.

Jets screamed in low over the capital in the early hours, carrying out an unusually heavy bombardment that lasted roughly three hours, an AFP correspondent said.

AFP

2 Rebels drive Kadhafi forces back from Misrata

by Alberto Arce, AFP

Mon May 9, 7:45 pm ET

MISRATA, Libya (AFP) – Rebels fighting to oust Libyan leader Moamer Kadhafi drove his forces back from around Misrata on Monday and were poised to make another thrust, as NATO said the strongman’s time was running out.

After heavy clashes, the rebels controlled a stretch of coastal road west of Misrata, Libya’s third city which Kadhafi’s forces have laid siege to for more than two months, forcing thousands to flee.

The Red Cross said meanwhile it delivered a shipment of humanitarian aid to the rebel-held western city amid concerns Kadhafi’s forces may have dropped mines into the harbour from helicopters bearing the Red Cross emblem.

3 Syria tightens noose on protest hubs: activists

AFP

1 hr 5 mins ago

DAMASCUS (AFP) – Syrian forces tightened the noose Tuesday on key protest hubs, including flashpoint Banias, sealing off neighbourhoods and arresting dissident leaders, activists said.

A pro-regime newspaper said the army had restored “calm” in Banias, while an adviser to President Bashar al-Assad told The New York Times she believes the regime has ridden out the worst of the uprising.

EU sanctions against the regime took effect on Tuesday, with the president spared but his younger brother heading a list of 13 officials targeted for their involvement in the brutal crackdown.

4 Syrian army controls Banias, more arrests: activists

AFP

Tue May 10, 8:07 am ET

DAMASCUS (AFP) – Syrian security forces rounded up more protest leaders in Banias on Tuesday, three days after storming the flashpoint coastal city a rights group said, as a pro-government newspaper said the army was restoring calm.

“The army controls all the neighbourhoods of Banias and arrests are still underway there and in the neighbouring villages of Baida and Marqab,” Rami Abdul Rahman of the Syrian Observatory for Human Rights told AFP.

Troops are hunting down “leaders of the protest movement” such as Anas al-Shaghri, Abdul Rahman said by telephone from London where the group has its base.

5 Syria activists call new protests as thousands held

AFP

Tue May 10, 6:29 am ET

DAMASCUS (AFP) – Syrian activists called countrywide protests on Tuesday in solidarity with thousands of anti-regime activists rounded up by the security forces, setting the scene for another round of bloody clashes.

The call by the Syrian Revolution 2011, an Internet-based opposition group, comes as the European Union listed the younger brother of President Bashar al-Assad among 13 Syrian officials facing sanctions for their involvement in violently repressing pro-democracy demonstrations that first erupted March 15.

“Demonstrations will continue every day,” said the Syrian Revolution 2011 Facebook page, which has been a motor of the protests.

6 Greeks bailout audited as eurozone debt storm rages

AFP

Tue May 10, 12:00 pm ET

ATHENS (AFP) – A Greek debt “disaster” would hit the entire eurozone, a senior European official warned on Tuesday, as an audit of Athens’ reform efforts began amid rampant talk of a second bailout or restructuring.

Experts from the European Union, International Monetary Fund and European Central Bank (ECB) began an audit of finances and reforms in Greece to determine if it merits a critical new slice of funding from a bailout package agreed last year.

This was just as a top ECB official warned that debt default or restructuring would hit the entire eurozone.

7 FIFA rocked by new World Cup corruption allegations

by Rob Woollard, AFP

Tue May 10, 11:32 am ET

LONDON (AFP) – FIFA was rocked by new allegations of corruption on Tuesday as the former head of England’s 2018 World Cup bid accused senior officials of demanding cash and honours in return for votes.

In an explosive session of a British parliamentary committee, six members of FIFA’s graft-tainted executive were accused of involvement in bribery before last year’s votes to decide the 2018 and 2022 World Cup hosts.

British lawmaker Damian Collins said the hearing had received evidence FIFA vice-president Issa Hayatou from Cameroon and Jacques Anouma from the Ivory Coast received bribes of 1.5 million dollars to vote for Qatar’s 2022 bid.

8 Giro stage ends in tribute to cyclist

AFP

1 hr 38 mins ago

LIVORNO, Italy (AFP) – A poignant tribute to stricken rider Wouter Weylandt brought an end to the Giro d’Italia fourth stage Tuesday as the Belgian’s Leopard-Trek team came across the finish line together.

Weylandt died in a fatal accident on Monday’s third stage when he tumbled 20 metres to the road below as he negotiated a descent 25km from the finish line in Rapallo.

Amid a huge outpouring of emotion, the peloton agreed not to race the fourth stage, instead riding at a pace which effectively neutralised the race for the entire 216 km between Genoa and Livorno.

9 Japan PM declines pay until nuclear crisis ends

by Shigemi Sato, AFP

Tue May 10, 9:44 am ET

TOKYO (AFP) – Japan’s Prime Minister Naoto Kan said Tuesday he would not accept his premier’s wage until a crisis at the tsunami-hit Fukushima nuclear plant is over and pledged a full review of the country’s energy policy.

Kan was speaking hours after about 100 villagers who fled their homes near the stricken plant made brief but emotional return journeys into the rural no-man’s land in radiation suits and masks to pick up personal belongings.

Japan was plunged into a nuclear crisis by the March 11 quake-tsunami that hit the plant, causing partial reactor meltdowns, explosions and radiation leaks in the world’s worst atomic accident since Chernobyl 25 years ago.

10 TEPCO submits compensation aid request to govt

by Miwa Suzuki, AFP

Tue May 10, 8:16 am ET

TOKYO (AFP) – The president of TEPCO on Tuesday submitted a request for Japanese government aid in compensating those affected by its stricken nuclear power plant, as the utility said it faced funding problems.

Presenting the request to trade and industry minister Banri Kaieda, Masataka Shimizu told reporters that TEPCO would undertake bold restructuring measures to help pay for damages caused by the world’s worst nuclear accident for 25 years.

Tokyo Electric Power (TEPCO) said in the submitted document that the company faced “an extremely severe situation regarding fund-raising such as loans from financial institutions, not to mention bond issuance.”

Reuters

11 Microsoft to buy Skype for pricey $8.5 billion

By Nadia Damouni and Bill Rigby, Reuters

2 hrs 53 mins ago

NEW YORK (Reuters) – Microsoft Corp plans to buy Internet phone service Skype for $8.5 billion in its biggest-ever acquisition, placing a rich bet on mobile and the Internet to try to best rivals such as Google Inc.

In a deal that took a month from offer to signing, the software company outbid Google and Facebook, which sources said offered to partner or buy Skype for $3 billion to $4 billion.

Microsoft’s interest in the money-losing, but popular service highlights a need to gain new customers for its Windows and Office software. Skype has 145 million users on average each month and has gained favor among small business users.

12 China eases trade rules, allows U.S. fund sales

By Paul Eckert and Doug Palmer, Reuters

10 mins ago

WASHINGTON (Reuters) – China on Tuesday pledged easier access for U.S. companies to key sectors of its economy by removing barriers to its huge market in government contracts and offering a foothold to U.S. mutual funds.

The pledges were made in two days of talks between the world’s two biggest economies which ended with both sides hailing progress in their often tense relationship.

“We are seeing very promising shifts in the direction of Chinese economic policy,” U.S. Treasury Secretary Timothy Geithner said, though he repeated that China needs to let its yuan currency rise more rapidly.

13 EU paymaster Merkel guarded on new aid for Greece

By Stephen Brown and Ingrid Melander, Reuters

5 mins ago

BERLIN/ATHENS (Reuters) – German Chancellor Angela Merkel, Europe’s reluctant paymaster, said on Tuesday she could only discuss further aid for Greece after EU and IMF officials report on implementation of its existing rescue plan.

Speaking to foreign correspondents in Berlin, Merkel did not rule out additional funding for Athens, or a possible further easing of terms on its 110 billion euro ($157 billion) bailout, and she voiced confidence that the German parliament would back a permanent bailout mechanism for the euro zone.

“I need to analyze the findings of the European Central Bank, European Commission and International Monetary Fund first and I can’t comment before that,” she said. “Anything else would not help Greece or Europe.

14 Nasdaq CEO vows hostile bid for NYSE in "weeks"

Reuters

3 mins ago

CHICAGO (Reuters) – Nasdaq OMX Group Chief Executive Robert Greifeld, unbowed after NYSE Euronext twice rejected his takeover offer, is pressing forward with a hostile bid for the Big Board parent, promising to launch a tender offer within weeks.

Greifeld on Tuesday said the offer is “probably still a couple weeks away.”

Earlier this month, Nasdaq and ICE said they planned to take their bid directly to shareholders in a tender offer.

15 Battle lines harden ahead of budget talks

By Andy Sullivan and Steve Holland, Reuters

2 hrs 15 mins ago

WASHINGTON (Reuters) – Battle lines hardened in Washington Tuesday as the Obama administration geared up for an intensive round of talks with lawmakers to allow the United States to avoid an unprecedented default on its debt.

Ahead of an afternoon meeting of Vice President Joe Biden and top lawmakers from both parties, the White House said Republicans should not hold the U.S. economy hostage by tying an increase in the country’s borrowing authority to trillion-dollar spending cuts.

“To hold one hostage to the other remains extremely unwise,” White House spokesman Jay Carney told reporters aboard Air Force One as President Barack Obama flew to Texas.

16 Appeals court questions Obama healthcare lawsuit

By Jeremy Pelofsky and Lisa Lambert, Reuters

1 hr 15 mins ago

RICHMOND, Virginia (Reuters) – An appeals court on Tuesday sharply questioned whether the state of Virginia could challenge President Barack Obama’s signature healthcare law, which requires Americans to buy insurance in a bid to slow healthcare costs.

The Obama administration is trying to save the individual mandate after a Virginia federal judge agreed with the state it was unconstitutional and struck down that part of the law.

The Obama administration has vigorously defended the measure, set to go into effect in 2014. The president’s Republican opponents are expected to make the issue a theme during his re-election bid by arguing it is a costly and unnecessary government expansion.

17 Congress to quiz SEC on private-share trading

By Sarah N. Lynch, Reuters

Tue May 10, 10:43 am ET

WASHINGTON (Reuters) – U.S. rules on the trading of private securities will be the subject of a hearing on Tuesday by lawmakers concerned that the regulations may be stifling the formation of capital.

Goldman Sachs, in a high-profile case, was spooked in January into limiting an offering of Facebook shares to foreign investors out of fear that a sale of the private shares to U.S. customers would violate the rules.

Securities and Exchange Chairman Mary Schapiro and SEC corporation finance director Meredith Cross will appear together at the House Oversight Committee after its chairman, Darrell Issa, questioned whether rules governing the trading of private shares are outdated and hinder the creation of capital.

18 Euro finance ministers to pressure Greece, approve Portugal aid

By Jan Strupczewski, Reuters

Tue May 10, 2:01 pm ET

BRUSSELS (Reuters) – Euro zone finance ministers are likely to back a bailout for Portugal on Monday and tell Greece it must deliver on agreed fiscal and privatization targets if it wants new emergency financing next year.

Greece denied reports on Tuesday it was discussing a new 60 billion euro ($84 billion) bailout with international lenders and its borrowing costs rose amid fears it may have to restructure its debt without further EU help.

A euro zone source involved in the preparation of the monthly meeting of ministers from the 17-member single currency area said a discussion of new aid for Greece, on top of the already agreed 110-billion-euro bilateral loans from the euro zone and the IMF was premature.

19 Greece denies new bailout talks, pays more to borrow

By Ingrid Melander and George Georgiopoulos, Reuters

Tue May 10, 12:10 pm ET

ATHENS (Reuters) – Greece denied a report on Tuesday it was discussing a new 60 billion euros bailout with international lenders and its borrowing costs rose amid fears it may have to restructure its debt without further EU help.

Doubts were raised by a German lawmaker whether Greece had met the conditions for getting the next, crucial tranche of aid under its existing bailout deal but a source close to EU and IMF inspectors in Athens said it was too early for a decision.

Prime Minister George Papandreou chaired a cabinet meeting ahead of the key EU/IMF decision — at stake is the next, 12 billion euro bailout tranche due in June, essential to pay 13.7 billion euros of imminent funding needs.

20 ECB’s Nowotny backs longer Greek aid repayment

By James Mackenzie and Michael Shields, Reuters

Tue May 10, 7:42 am ET

VIENNA/FLORENCE, Italy (Reuters) – A Greek debt restructuring would have dire consequences, ECB policymakers warned, with one suggesting the bank would be unlikely to help the euro zone recover from the shock by delaying interest rate hikes.

Ewald Nowotny, one of three members of the European Central Bank to voice opposition on Tuesday to a restructuring, said he favored giving Greece more time to repay its aid rather than issuing new loans.

“You have to be aware that this would immediately have massive consequences for the Greek banking system and for the banking system overall,” Nowotny told Austrian radio. “That would only heighten the crisis.”

21 GM to invest $2 billion in 17 U.S. plants

By Bernie Woodall, Reuters

2 hrs 26 mins ago

TOLEDO, Ohio (Reuters) – General Motors Co said on Tuesday it will invest about $2 billion in 17 U.S. plants, including a facility here that makes transmissions for small cars, as the automaker shifts from recovery mode to investing in future products.

GM said the plans will create or preserve more than 4,000 jobs as it retools the plants in eight states. The company employs 202,000 people globally, including 77,000 in the United States.

“We are doing this because we are confident about demand for our vehicles and the economy,” GM Chief Executive Daniel Akerson said.

22 China trade surplus surges, fuel for yuan critics in U.S. talks

By Kevin Yao and Aileen Wang, Reuters

Tue May 10, 10:53 am ET

BEIJING (Reuters) – China stormed back to post a hefty trade surplus in April as exports hit a record while imports eased more than expected, weighed down by sustained monetary tightening and high commodity prices.

The surplus of $11.4 billion, nearly four times greater than expected, comes as China holds high-level economic and strategic talks in Washington and could fuel U.S. criticism that Beijing limits the yuan’s appreciation to support its exports industry.

The trade account swung from a small, rare trade deficit in the first quarter, pushed by a stronger-than-anticipated 29.9 percent rise in exports over a year earlier to a record $155.7 billion.

23 Coming weeks will test U.S. troop surge in Afghanistan

By Missy Ryan, Reuters

Tue May 10, 12:27 pm ET

WASHINGTON (Reuters) – U.S. soldiers in Afghanistan are heading into what may be a pivotal fighting season that determines the scale of an initial U.S. troop withdrawal starting this summer, a senior U.S. official said.

President Barack Obama has vowed to begin in July a gradual withdrawal of the 100,000 U.S. troops in Afghanistan as Washington takes steps to end a costly, unpopular war nearly a decade after the Taliban government was toppled.

A senior U.S. defense official, speaking on condition of anonymity, said the weeks up to early- to mid-June would reveal the extent to which Obama’s decision to send an extra 30,000 troops to Afghanistan had weakened the Afghan insurgency.

AP

24 APNewsBreak: Feds ask for help with Armstrong case

By GREG RISLING, Associated Press

1 hr 3 mins ago

LOS ANGELES – Undeterred by the slap on the wrist a jury gave Barry Bonds, U.S. investigators are forging ahead in a separate drug-related case against another superstar athlete – Lance Armstrong.

In France, where Armstrong became famous by winning the Tour de France seven straight times, officials received a request from U.S. authorities last month for help gathering evidence about the cyclist and other members of his former U.S. Postal team.

The move indicates federal authorities are looking to bolster their case against Armstrong so they can give a grand jury in Los Angeles the fullest account possible of the cyclist’s actions before deciding whether Armstrong, like Bonds, also should face criminal charges related to using performance-enhancing drugs.

25 AP IMPACT: FEMA asks for return of disaster aid

By RYAN J. FOLEY, Associated Press

1 hr 6 mins ago

CEDAR RAPIDS, Iowa – After the raging Cedar River filled his home with 13 feet of water and ruined most of his possessions, Justin Van Fleet pleaded for help from the Federal Emergency Management Agency to get back on his feet.

Dead broke and living in a FEMA trailer following the 2008 flood, Van Fleet repeatedly submitted paperwork and made countless phone calls arguing his case. After seven months, the agency finally gave him more than $20,000, which he said gave him his life back and allowed him to move into a house.

Then in March, a letter arrived from the government with a shocking message: He should never have gotten the money. And he had just 30 days to pay it all back.

26 Appeals court in Va. hears health care cases

By LARRY O’DELL, Associated Press

1 hr 9 mins ago

RICHMOND, Va. – A federal appeals panel dominated by appointees of President Barack Obama heard arguments Tuesday in two Virginia lawsuits challenging his health care overhaul.

The three-judge panel of the 4th U.S. Circuit Court of Appeals vigorously questioned lawyers on both sides, but the most spirited exchanges focused on the central issue in both cases: whether the law’s requirement that individuals buy insurance is constitutional. Federal judges in Virginia split on that question in the lawsuits, one filed by Virginia Attorney General Kenneth Cuccinelli and the other by Liberty University.

The 14-member court uses a computer program to randomly select its panels, and Obama could hardly have wished for a better outcome. He appointed two of the judges, Andre M. Davis and James A. Wynn Jr. The other was Judge Diana Gribbon Motz, an appointee of former President Bill Clinton.

27 Laying down blunt budget markers for debt crisis

By JIM KUHNHENN and ANDREW TAYLOR, Associated Press

1 min ago

WASHINGTON – The battle over whether tax increases can be used to cut the nation’s debt flared Tuesday as the Senate’s Democratic budget writer floated a possible millionaire’s surtax to help cut projected deficits over the next decade. But Republican leaders flatly said no to tax increases.

Democratic officials said Senate Budget Committee Chairman Kent Conrad, D-N.D., raised the idea of an extra tax on the wealthiest taxpayers and the Senate’s Democratic leader, Harry Reid, D-Nev., called for an end to tax subsidies for oil and gas companies. House Speaker John Boehner and Senate Republican leader Mitch McConnell both staked out seemingly unyielding positions against tax increases

The parties exchanged volleys over taxes even as bipartisan congressional negotiators working with Vice President Joe Biden struggled for common ground on spending cuts that would help erode long-term deficits.

28 AP sources: US closer to calling for Assad to go

By BRADLEY KLAPPER and MATTHEW LEE, Associated Press

5 mins ago

WASHINGTON – The Obama administration is edging closer to calling for an end to the long rule of the Assad family in Syria. Administration officials said Tuesday that the first step would be to say for the first time that President Bashar Assad has forfeited his legitimacy to rule, a major policy shift that would amount to a call for regime change that has questionable support in the world community.

The tougher U.S. line almost certainly would echo demands for “democratic transition” that the administration used in Egypt and is now espousing in Libya, the officials said. But directly challenging Assad’s leadership is a decision fraught with problems: Arab countries are divided, Europe is still trying to gauge its response, and there are major doubts over how far the United States could go to back up its words with action.

If the Syrian government persists with its harsh crackdown on political opponents, the U.S. could be forced into choosing between an undesired military operation to protect civilians, as in Libya, or an embarrassing U-turn that makes it look weak before an Arab world that is on the tipping point between greater democracy or greater repression.

29 Al-Qaida likely to elevate No. 2 – or name no one

By REBECCA SANTANA, Associated Press

6 mins ago

BAGHDAD – A week after the death of Osama bin Laden, his longtime deputy is considered the front-runner to succeed the iconic al-Qaida founder. But uprisings in the Middle East and changing dynamics within the group could point to another scenario: a decision not to appoint anyone at all to replace the world’s most-wanted terrorist.

Replacing bin Laden, who founded al-Qaida more than two decades ago and masterminded 9/11, may be no easy task. Analysts say the choice will likely depend on how the terror organization views its goals and priorities in the post-bin Laden age.

The revolt across the Arab world over the past few months was driven by aspirations for Western-style democracy, not the al-Qaida goal of a religiously led state spanning the Muslim world. And as al-Qaida struggles to prove its relevance, the group has become increasingly decentralized and prone to internal disputes.

30 Tripoli sites bombed, rebels claim Misrata gains

By DIAA HADID and MICHELLE FAUL, Associated Press

2 hrs 29 mins ago

TRIPOLI, Libya – In a one-two punch against Moammar Gadhafi’s forces, NATO warplanes struck a command center in the capital, Tripoli, on Tuesday after pounding regime targets around the besieged port of Misrata. Rebels hoped the stepped-up attacks could help extend some of their biggest advances to date, including a major outward push from Misrata.

The opposition also said it made gains along a long-deadlocked front near the eastern town of Ajdabiya.

The rebels’ military spokesman, Col. Ahmed Bani, said opposition forces had pushed Gadhafi’s troops out of rocket range on the west side of Misrata and dislodged them from the airport after two days of battles, raising the prospect that the siege could be broken.

31 Syrian military tightens grip in areas of unrest

By BASSEM MROUE, Associated Press

2 hrs 2 mins ago

BEIRUT – More tanks and troops rolled into southern villages Tuesday near the heart of Syria’s anti-government uprising, with activists saying the regime has isolated parts of the country. A human rights group reported that more than 750 people have been killed in a crackdown on seven weeks of unrest.

The military has been sealing off various areas of Syria and conducting house-to-house raids in search for people whose names are on wanted lists, with many fleeing cities and towns for fear of detention by the regime of President Bashar Assad, activists say.

Intense military operations have taken place in the Damascus suburb of Maadamiyeh, which has been sealed off for days, said human rights activist Mustafa Osso. He said communications have been cut and checkpoints were preventing anyone from entering or leaving the area.

32 North Ala. nuclear plant cited for safety by NRC

By RAY HENRY, Associated Press

11 mins ago

ATLANTA – Federal regulators ordered an in-depth inspection Tuesday at a nuclear power plant run by the Tennessee Valley Authority in northern Alabama after deciding the failure of an emergency cooling system there could have been a serious safety problem.

The U.S. Nuclear Regulatory Commission issued a rare red finding against the Browns Ferry nuclear power plant near Athens, Ala., after investigating how a valve on a residual heat removal system became stuck shut. The NRC has issued only five red findings – the most severe ranking the agency gives to problems uncovered in its inspections – since its current oversight program started in 2001.

NRC said the utility must pay for detailed inspections of the plant’s performance, its safety culture and organization. The agency said it could not immediately estimate inspection costs.

33 Gen. Lee’s sword returning to Appomattox, Va.

By STEVE SZKOTAK, Associated Press

Tue May 10, 3:35 pm ET

RICHMOND, Va. – It’s an enduring myth of the Civil War: Robert E. Lee surrendered his sword to Ulysses S. Grant at Appomattox, and his Union counterpart refused the traditional gesture of surrender. “Lee never offered it, and Grant never asked for it,” said Patrick Schroeder, historian at Appomattox Courthouse National Historical Park.

In an historical twist, though, Lee’s French-made ceremonial sword is returning to Appomattox 146 years later, leaving the Richmond museum where it has been displayed for nearly a century.

The Museum of the Confederacy in downtown Richmond is delivering one of its most-treasured pieces to Appomattox for a new museum that it’s building less than a mile from where Lee met with Grant to sign the document of surrender on April 9, 1865. The Army of Northern Virginia’s formal surrender followed three days later, effectively drawing to a close the Civil War that left about 630,000 dead.

34 Microsoft deal should vastly expand reach of Skype

By MICHAEL LIEDTKE and PETER SVENSSON, AP Technology Writers

1 hr 19 mins ago

SAN FRANCISCO – Imagine using your Xbox and switching from a game to a video chat with a faraway friend holding an iPad. Or going into your office email to invite Grandma to a virtual family reunion beamed on TV sets to relatives across the country.

Microsoft’s $8.5 billion purchase of Skype is supposed to make using the Internet for video phone calls as common as logging on to Facebook or instant messaging is today.

If it wins regulatory approval, the deal announced Tuesday provides Microsoft, the world’s largest software maker, with the means to sell more digital advertising and offer more popular conferencing tools to help businesses save money.

35 South African lesbians targeted in rapes, slayings

By DONNA BRYSON, Associated Press

Tue May 10, 10:03 am ET

EKURHULENI, South Africa – They found Noxolo Nogwaza’s body in a drainage ditch choked with trash and high reeds. The lesbian activist had been repeatedly stabbed with broken glass, and beaten so severely with chunks of concrete that her teeth had been knocked out.

The neighborhood where the 24-year-old mother of two was slain once was known as a haven for black gays and lesbians, but activists say her death here late last month highlights an alarming rise in homophobic violence in some of the country’s most impoverished areas.

“If the police and other state officials do not act swiftly, it will only be a matter of time before they have to account for their failure to the family and friends of the next lesbian who is beaten and killed in Kwa-Thema,” Human Rights Watch researcher Dipika Nath said in a statement.

36 Japan to scrap plan to boost nuke energy to 50 pct

By MARI YAMAGUCHI, Associated Press

Tue May 10, 11:10 am ET

TOKYO – Japan will scrap a plan to obtain half of its electricity from nuclear power and will instead promote renewable energy and conservation as a result of its ongoing nuclear crisis, the prime minister said Tuesday.

Naoto Kan said Japan needs to “start from scratch” on its long-term energy policy after the Fukushima Dai-ichi nuclear power plant was heavily damaged by a March 11 earthquake and tsunami and began leaking radiation.

Nuclear plants supplied about 30 percent of Japan’s electricity, and the government had planned to raise that to 50 percent by 2030.

37 Afghan special ops units a key to US exit

By KIMBERLY DOZIER, AP Intelligence Writer

Tue May 10, 12:09 pm ET

PAKTIKA, Afghanistan – A hundred or so turbaned, bearded Afghans packed the plastic mats outside the fort, staring skeptically at Afghan officials on a makeshift outdoor stage. The officials were making the case for setting up a local police force.

Off to the side, watching silently, were the U.S. special operations troops who had made the meeting possible by flying in the officials and disarming the villagers before they entered the compound.

If all went well, the Americans would later be training the neighborhood-watch-like police force to protect the villagers from the Taliban, and hastening the handover of security responsibility to the Afghans.

38 Feds announce reviews for 251 imperiled species

By MATTHEW BROWN, Associated Press

6 mins ago

BILLINGS, Mont. – The Obama administration on Tuesday announced a deal with environmentalists to work through a backlog of more than 250 imperiled animals and plants and decide which merit greater protections.

Most would likely be proposed for threatened or endangered status if a federal judge approves the agreement, Interior Department officials said. The species to be reviewed range from the greater sage grouse and Canada lynx, to 110 plants and 38 kinds of mollusks.

That could lay the groundwork for a spate of future conflicts over industrial development, water management and residential expansion wherever humans are encroaching into the natural world.

39 Federal judge blocks Utah immigration law

By JOSH LOFTIN, Associated Press

11 mins ago

SALT LAKE CITY – A federal judge on Tuesday blocked a Utah immigration law that would have allowed police to check the citizenship status of anyone they arrest, citing its similarities to the most controversial parts of an Arizona law that seems bound for the U.S. Supreme Court.

U.S. District Judge Clark Waddoups issued his ruling in Salt Lake City just 14 hours after the law went into effect, saying that there is sufficient evidence that at least some portions of the Utah legislation will be found unconstitutional.

The American Civil Liberties Union and National Immigration Law Center last week sued to stop the implementation of House Bill 497, saying it could lead to racial profiling. The civil rights groups submitted hundreds of pages of evidence and affidavits to prove their claims ahead of Tuesday’s hearing.

40 Different fates for 2 Illinois charity hospitals

By CARLA K. JOHNSON, Associated Press

23 mins ago

JOLIET, Ill. – Two charities hospitals in Illinois face drastically different fates after a state board on Tuesday approved the closure of the only hospital in East St. Louis and denied a Cook County proposal to close a hospital in Chicago’s southern suburbs.

The Illinois Health Facilities and Services Review Board denied a plan by Cook County to close Oak Forest Hospital, a move that triggered a celebration from those against closing the charity care hospital and disappointment from the county board president who was hoping shuttering the facility would help reduce crushing health care costs.

Meanwhile, officials predicted it would take three to four months to close Kenneth Hall Regional Hospital in East St. Louis and open an urgent care center nearby. The Southern Illinois Healthcare Foundation plans to move some of the psychiatric beds from Kenneth Hall to a sister hospital in neighboring Centreville.

41 Court throws out bribery convictions in Ala. case

Associated Press

41 mins ago

MONTGOMERY, Ala. – Former Alabama Gov. Don Siegelman says he’s disappointed – but not surprised – that a federal appeals court threw out two bribery convictions against him and former HealthSouth CEO Richard Scrushy, but let stand most of their other 2006 corruption convictions.

The 11th U.S. Circuit Court of Appeals said in a ruling Tuesday that there was not enough evidence to convict Siegelman and Scrushy of two bribery counts, which involved a hospital license and equipment. But the appeals court rejected a request for a new trial and let stand convictions on five counts against Siegelman and four against Scrushy. The court said they must be resentenced to reflect the reduced number of counts.

Siegelman was unaware of the decision until contacted by The Associated Press.

42 US-China talks end with wide differences remaining

By MARTIN CRUTSINGER and MATTHEW PENNINGTON, Associated Press

1 hr 48 mins ago

WASHINGTON – Sharp U.S. criticism of China’s human rights record overshadowed the results achieved at annual high-level meetings between the world’s two largest economies aimed at resolving disputes over trade and foreign policy.

After two days of talks, the two sides announced a range of modest agreements aimed at increasing sales opportunities for U.S. companies in China. But there was no breakthrough on a key U.S. demand – letting China’s currency rise in value at a faster rate against the dollar. The currency issue gained new urgency in the view of American manufacturers with release of a Chinese government report showing that China’s trade surplus with the world had surged in April.

Secretary of State Hillary Rodham Clinton told reporters at a closing news conference Tuesday that the United States had made its concerns known on a range of sensitive issues, including human rights.

43 Report: Up to 44M more uninsured under GOP budget

By RICARDO ALONSO-ZALDIVAR, Associated Press

1 hr 54 mins ago

WASHINGTON – The House Republican budget would leave up to 44 million more low-income people uninsured as the federal government cuts states’ Medicaid funding by about one-third over the next 10 years, nonpartisan groups said in a report issued Tuesday.

The analysis by the Kaiser Family Foundation and the Urban Institute concluded that Medicaid’s role as the nation’s safety net health care program would be “significantly compromised … with no obvious alternative to take its place,” if the GOP budget is adopted.

The plan passed by House Republicans last month on a party-line vote calls for sweeping health care changes, potentially even more significant than President Barack Obama’s insurance overhaul. So far, most of the attention has gone to the Republican proposal to convert Medicare into a voucher-like system for future retirees. But Medicaid would also be transformed.

44 No. 2 House Democrat against contractor disclosure

By LARRY MARGASAK, Associated Press

Tue May 10, 4:17 pm ET

WASHINGTON – The second-ranking House Democrat said Tuesday he opposes a White House proposal to require anyone seeking government contracts to disclose political contributions.

Rep. Steny Hoyer of Maryland, the party whip, placed himself on the same side as Republicans and the business community – and against liberal groups demanding more disclosure.

Hoyer told reporters that contractors should be chosen on the merits of their applications, their bids and their capabilities, not on their political donations.

45 School residency arrests raise fairness questions

By STEPHANIE REITZ, Associated Press

Tue May 10, 4:08 pm ET

HARTFORD, Conn. – A homeless single mother’s arrest on charges she intentionally enrolled her son in the wrong school district by using her baby sitter’s address is raising questions about uneven enforcement of residency rules as budget-conscious cities nationwide crack down on out-of-towners in their classrooms.

Tanya McDowell’s arrest in Norwalk last month came a few months after Kelley Williams-Bolar of Akron, Ohio, was convicted of falsifying records for using her father’s address to send her children to safer suburban schools.

Yet in Connecticut, Ohio and elsewhere throughout the U.S., officials acknowledge parents are routinely caught doing the same thing but rarely face criminal charges.

Graveyard Whistling

The fact of the matter is that most, if not all, of the mega-banks are insolvent.  The paper they base their balance sheets on is suitible mostly for lining litter boxes and wrapping fish and ultimately, when the write downs come, they’re going to shoulder the brunt of it because now that they own over 50% of all assets there’s simply no place else they can steal from.

Yesterday I mentioned the continuing decline in real estate, more from the Wall Street Journal today-

Home values fell 3% in the first quarter and 1.1% in March, according to Zillow, which says prices have fallen 57 consecutive months. CoreLogic (CLGX) this week reported that home prices have fallen for eight months in a row.

The Realtors’ trade group, which measures resales using median prices where half sell for more and half sell for less, says existing-home prices rose in 34 out of 153 metropolitan statistical areas in the first quarter compared to a year ago. The data also shows four double-digit increases – including Buffalo, N.Y., and Burlington, Vt. – and 118 price declines.



NAR also makes it clear that distressed-home sales, which typically command a discount around 20%, continue weighing on prices. In the first quarter, the median existing home price came in at $158,700 nationwide, down 4.6% from a year earlier. Distressed sales made up 39% of the first-quarter’s sales, up from 36% a year ago.



This has some economists pushing back their estimates of when the battered market will see prices strike the long-awaited bottom and begin recovery.

Stan Humphries, Zillow’s chief economist, now believes prices won’t hit bottom before next year and expects they will fall by another 7% to 9%.

Paul Dales, a senior U.S. economist with Capital Economics, said prices could fall by as much as 10%, down from his previous forecasts of around 5%.

Others are even more pessimistic. “The real-estate market is dead money until at least 2014,” says Michael Pento, a senior economist with Euro Pacific Capital. “There is just too much supply.”

Banks lied about the value of these mortgages in the prospectuses for the securities they re-sold to investors, exposing them to Trillions of Dollars of Civil Liability and Criminal Fraud charges.

Deutsche Bank Accused Of Massive Mortgage Fraud, Sued for $1 Billion By U.S. Government

Shahien Nasiripour, The Huffington Post

05/ 3/11 04:42 PM ET

The Justice Department is seeking damages three times the amount HUD has already shelled out for defaulted mortgages with allegedly fraudulently-obtained government insurance, plus additional penalties for each mortgage that broke federal rules.

While private investors have thus far faced a long, slow war battling lenders and connected Wall Street firms to buy back toxic mortgages investors claim were sold to them fraudulently, the government’s suit is fairly straightforward. As part of the FHA program MortgageIT participated in, lenders are required to annually certify that they check basic records like borrowers’ incomes, credit history and employment record. The lenders also are required to review loans that quickly default to guard against sloppy lending practices, and act in the government’s best interests because taxpayers are bearing the risks for potentially poor loans.



“These companies repeatedly and brazenly breached the public trust,” said Preet Bharara, the U.S. Attorney in Manhattan. “This lawsuit sends them — and other lenders — the message that they cannot get away with lies and recklessness. They cannot casually assign the prospect of being caught to the cost of doing business.”

Claiming Fraud in A.I.G. Bailout, Whistle-Blower Lawsuit Names 3 Companies

By MARY WILLIAMS WALSH, The New York Times

Published: May 4, 2011

The lawsuit, filed by a pair of veteran political activists from the La Jolla area of San Diego, asserts that A.I.G. and two large banks engaged in a variety of fraudulent and speculative transactions, running up losses well into the billions of dollars. Then the three institutions persuaded the Federal Reserve Bank of New York to bail them out by giving A.I.G. two rescue loans, which were used to unwind hundreds of failed trades.



“To cover losses of those engaged in fraudulent financial transactions is an authority not yet given to the Fed board,” said the plaintiffs, Derek and Nancy Casady, in their complaint, filed in Federal District Court for the Southern District of California.

The lawsuit names A.I.G., Goldman Sachs and Deutsche Bank as defendants, but not the Fed.

Will "False Claims" Lawsuit Against AIG, Goldman, Deutsche, BofA, SocGen on Fed Funding Lead to New Round of Embarrassing Revelations?

Yves Smith, Naked Capitalism

Thursday, May 5, 2011

The case focuses on allegedly fraudulent representations made by AIG and the various major dealers in the course of obtaining the financing. But the part I find interesting is the Fed’s evident non-compliance with the requirements of this section, particularly the fact that the central bank lent 100% against the face value of the AIG CDOs, between taking out the CDS and then lending the bailout vehicle Maiden Lane III the funds to buy the CDOs. Interestingly, the SIGTARP investigation missed this issue. If this was at all considered, the argument may have been that the AIG equity in MLIII was tantamount to a discount, but the lawsuit argues that notion is bogus. Since AIG was broke, any money for the AIG equity came from the outside (in fairness, it’s a bit more complex, thanks to reserves set aside over the collateral dispute).

The suit argues that the initial loan was made under false premises, since the loan was secured by all assets of AIG, when the assets were already pledged (all the regulated subs have prior claims on them, both to creditors and policy-holders). The understanding, as depicted in various less-than-official accounts, like the Andrew Ross Sorkin Too Big Too Fail, is that the loans were secured by the equity of the subs. Fine in theory, but in practice, that isn’t what the loan document says, and as important (although not argued in the case) is the amount of the loan was based on what AIG needed to stay afloat, not on any effort to find a market value of the assets pledged and discount that.

In addition, the notion that it was acceptable to lend against stock appears to be based on the discount schedule that the Fed posts and revises from time to time as to the types of collateral that are accepted for lending and the various discount rates established for them. But note that schedule is for depositary institutions. The Fed acted as if it could simply lend against the same assets held by non-depositaries, but the language of the germane section does not appear to support that idea.

And then there are Portugal, Ireland, Italy, Greece, and Spain.

Investors count cost to banks of Greek default

By Tracy Alloway, Megan Murphy and David Oakley, Financial Times

Published: May 10 2011 19:17

Financial markets are pricing in the once unthinkable. Worried by the possibility that Greece could restructure its debt, investors are gauging the likely impact on European banks that hold its bonds. Some, it has emerged, could be exposed to billions of euros in losses

The question of who would suffer in the event of a writedown being imposed on Greek bondholders has acquired extra urgency as analysts digest different scenarios should Greece be unable to return to the bond markets next year.



A 50 per cent writedown, or haircut, on the value of Greek bonds, which some commentators believe is a possibility, would cost BNP €1.7bn.

At Dexia, the Franco-Belgian bank, its €3.5bn banking exposure represents a sizeable 39 per cent of the bank’s tangible net asset value, Morgan Stanley estimates. A 50 per cent haircut would lead to the group taking a €1.3bn hit.

Commerzbank of Germany and Société Générale in France are also exposed, both holding about €2bn-€3bn of Greek sovereign debt. In total, non-Greek banks hold 11 per cent of outstanding Greek debt, UBS says, the International Monetary Fund and European nations that took part in last year’s Greek bail-out having similar exposure.



The European Central Bank is estimated to hold 20 per cent through direct purchases of Greek bonds, making it Greece’s second-biggest investor. Widening the central bank’s exposure to take account of its financial liquidity operations paints a starker picture.

JPMorgan analysts estimate that including lending by the ECB to Greek banks raises its notional exposure to nearly €200bn. Using that figure, they calculate the ECB can withstand a haircut of up to 30 per cent before taking losses. “A hypothetical Greek debt restructuring exceeding that haircut would be damaging especially if Ireland followed suit,” JPMorgan says.



For Greek banks, a 50 per cent haircut in a hard restructuring would lead to about €25bn in losses, JPMorgan says, leaving only €4bn of equity to cushion the Hellenic banking system.

It is only a question of when, and not if, there will be another global financial crisis and another leg down in the Greatest Depression.  My bet is that it will come just in time to completely doom Obama’s re-election prospects.

For which he has no one to blame but himself.

Punting the Pundits

Punting the Punditsis an Open Thread. It is a selection of editorials and opinions from around the news medium and the internet blogs. The intent is to provide a forum for your reactions and opinions, not just to the opinions presented, but to what ever you find important.

Thanks to ek hornbeck, click on the link and you can access all the past “Punting the Pundits”.

Eugene Robinson: Now casting: A few good GOP candidates

With the nation transfixed by the daring raid that killed Osama bin Laden, the first GOP presidential debate transpired last week with relatively little notice. For Republicans, that’s the good news.

The bad news is that for those who did pay attention, the debate brought to mind – and I’m just trying to be honest here, folks – the famous bar scene from “Star Wars.” At times the dialogue sounded like a faltering attempt at interplanetary communication. Can anyone seriously imagine Rick Santorum, Herman Cain, Ron Paul or Gary Johnson as president? Will anyone forgive Tim Pawlenty for joining such a motley crew?

Back on Earth, it’s hard to escape the conclusion that the elimination of bin Laden was good not only for national security, the interest of justice and the public mood, but for President Obama’s political prospects as well. He’s not unbeatable in 2012, but at the moment you’ve got to like his chances.

Dana Milbank: Muskets in hand, tea party blasts House Republicans

Poor Paul Ryan and John Boehner.

Ryan, chairman of the House budget committee, proposed budget cuts so severe his plan has been described as a suicide note. Boehner, the House speaker, rushed the budget to passage before Republicans grasped the potential fallout from their vote to replace Medicare.

Yet even this was not enough for the tea party.

On Monday morning, tea party leaders from around the country gathered at the National Press Club for a news conference denouncing Boehner and Ryan in terms normally reserved for that most loathsome of creatures, the Democrat.

“Instead of a fighter for U.S. taxpayers, Mr. Boehner has been a surrenderist, if that’s a word,” proclaimed William Temple, chairman of the Tea Party Founding Fathers. “It seems House Speaker John Maynard Boehner and his fellow RINOs – Republicans In Name Only – like to spend other peoples’ money just as much as the Democrats.”

Glen Greenwald: Bin Laden’s Death Doesn’t End His Fear-Mongering Value

On Friday, government officials anonymously claimed that “a rushed examination” of the “trove” of documents and computer files taken from the bin Laden home prove — contrary to the widely held view that he “had been relegated to an inspirational figure with little role in current and future Qaeda operations” — that in fact “the chief of Al Qaeda played a direct role for years in plotting terror attacks.”  Specifically, the Government possesses “a handwritten notebook from February 2010 that discusses tampering with tracks to derail a train on a bridge,” and that led “Obama administration officials on Thursday to issue a warning that Al Qaeda last year had considered attacks on American railroads.”  That, in turn, led to headlines around the country like this one, from The Chicago Sun-Times:

Photobucket

Click on image to enlarge

The reality, as The New York Times noted deep in its article, was that “the information was both dated and vague,” and the official called it merely “aspirational,” acknowledging that “there was no evidence the discussion of rail attacks had moved beyond the conceptual stage”  In other words, these documents contain little more than a vague expression on the part of Al Qaeda to target railroads in major American cities (“focused on striking Washington, New York, Los Angeles and Chicago,” said the Sun-Times):  hardly a surprise and — despite the scary headlines — hardly constituting any sort of substantial, tangible threat.

But no matter.  Even in death, bin Laden continues to serve the valuable role of justifying always-increasing curtailments of liberty and expansions of government power.  From Reuters (h/t Atrios):

Sen. Schumer proposes “no-ride list” for Amtrak trains

Dean Baker: The Big Retailers Versus the Big Banks: It Makes a Big Difference

The battle of the “swipe fees” has been hard to miss the last few weeks. The big banks are spending millions of dollars on TV, radio and Internet ads telling us that the government should not limit the fees that they charge on debit cards transactions. On the other side, a coalition of major retailers, such as Wal-Mart and Target, has been funding a comparable campaign to stop the bank gouging.

It may seem as though the public has little at stake in this battle between big banks and big retailers, but that is not true. In this case, Wal-Mart is on the side of the angels; small businesses and consumers will win if they prevail. This is an important battle in its own right, but even more important as a lesson in effective politics.

The basic story here should be a policy no-brainer. There are two major debit card networks, Mastercard and Visa, who essentially are the market. Together, they control more than 90 percent of the debit card market.

Robert Weissman: The US Chamber of Commerce in Wonderland

It’s a good rule of thumb: If the U.S. Chamber of Commerce — the trade association for large corporations — is whipped up about something, there’s probably good reason for the public to strongly back whatever has sent the Chamber into fits.

Well, the Chamber is apoplectic over a modest Obama administration proposed executive order that would require government contractors to reveal all of their campaign-related spending.

This is a case where the rule of thumb works. The proposed executive order would provide important information about campaign spending by large corporations, and work to reduce the likelihood that contracts are provided as payback for campaign expenditures. You can urge the administration to stand up to the U.S. Chamber of Commerce by signing the petition here.

The U.S. Chamber is of course no stranger to using exaggerated rhetoric to advance its positions. But its opposition to the Executive Order is astounding even by the standards of the Chamber.

Peter Dreier: How Do Wrong Economic Ideas Become Conventional Wisdom?

The ideas of Friedrich Hayek (1899-1992) are making a comeback, in large part due to Glenn Beck, who has touted the libertarian economist and philosopher’s views on his TV show. The essence of Hayek’s views — spelled out in his most well-known book, The Road to Serfdom — is that government stifles freedom and liberty. With a few exceptions, he viewed almost any governmental intervention in economic affairs as a slippery slope toward totalitarian socialism. No wonder that Beck has been hawking Hayek.

Now comes Francis Fukuyama, the neoconservative political scientist, who uses the pages of the New York Times Book Review to hawk his own version of government-bashing. Unfortunately, Fukuyama, who claims to be something of a student of Hayek’s ideas, hasn’t done his homework.

In his review of the new edition of Hayek’s The Constitution of Liberty, published in the Review on Sunday (May 8), Fukuyama off-handedly comments that three of Hayek’s ideas “have become broadly accepted by economists.” But it so happens that economists don’t agree on these three ideas. Moreover, the policy conclusions that Fukuyama draws happen to be untrue.

Richard (RJ) Eskow: The Economic Security President: Four Ways to Be “Bold” and “Gutsy” on the Home Front

The post-bin Laden afterglow is fading. Those video clips of his home movies seem like scenes from a reality show, not glimpses of an Existential Threat. It’s the master terrorist as an addled Ozzy Osbourne, minus the Beverly Hills couturiers and groomers. And while a few people might wait for bin Laden to sing Ozzy’s “Iron Man” — “Nobody wants him/He just stares at the world, planning his vengeance” — our attention-deficit nation is getting ready to move on.

Significantly, while the President’s overall approval rating jumped 11 percent after the killing, his economic approval fell and reached a new low: Only 34 percent approved of his handling of the economy, while 55 percent disapproved.

Jonathan Capehart: Jonathan Capehart

Oh, so you thought we were done with all this birther craziness? Ha! Not a chance. On Friday, Gov. Bobby Jindal (R-La.) released his birth certificate in a fit of pique and silliness over a newspaper getting his middle name wrong. Well, it was a little bit more involved than that.

Jindal threw his support behind a birther bill currently making its way through the state legislature that would require those who want to run for national office to show proof of U.S. birth in order to be on the Louisiana ballot. Last month, Baton Rouge newspaper the Advocate ran an editorial saying, “Piyush Amrit Jindal is the last man in America who should give his blessing to a birther bill.” Amen to that, since Jindal is the son of two immigrant parents whose journey from India to the United States was chronicled by the Times-Picayune.

But “Amrit” isn’t the governor’s middle name. Ticked off, Jindal released his long-form birth certificate to prove it.

Et tu, Claire?

(2 pm. – promoted by ek hornbeck)

Some of the Democrats in Congress are more the enemy of the people than the Republicans. Case in point, Sen. Claire McCaskill (D-MO) and her unholy alliance with Sen. Bob Corker (R-TN) on a proposed budget bill that would completely destroy Medicare and Medicaid. The bill would cut $7.6 trillion over 10 years by capping federal spending at 20.6 percent of gross domestic product within a decade, down from 24.3 percent now. Achieving that goal would necessitate massive cuts to Medicare, Social Security and Medicaid.

Under the McCaskill-Corker plan, if Congress fails to keep spending under the annual cap, the Office of Management and Budget would make evenly distributed cuts throughout the budget.

If the automatic cuts took place, they would total about $1.3 trillion in Social Security, $856 billion in Medicare and $547 billion in Medicaid reductions over the first nine years, according to the Center on Budget and Policy Priorities report.

To avoid the automatic across-the-board cuts, lawmakers would probably have to enact policies for Medicare and Medicaid along the lines of what Ryan has outlined, the report said.

snip

Federal spending is projected to grow rapidly in coming years as the Baby Boom generation reaches retirement age, which means the McCaskill-Corker proposal would require dramatic cuts. The reductions would total more than $800 billion in 2022 alone, which would be the equivalent of eliminating the entire Medicare program or the Defense Department.

Spending Caps: Putting Lipstick On A Pig

Hi, I’m Robert Reich. Republicans figure that if they can’t sell the pig they’ll just put lipstick on it and find some suckers who will think it’s something else. That’s the proposal emerging in the Senate from Republican Bob Corker of Tennessee and also Democrat Claire McCaskill of Missouri. It would get the deficit down, not by raising taxes on the rich, but by capping federal spending. That cap would steadily drop over time as it squeezed spending more and more.And if Congress failed to stay under the cap the budget would be automatically cut.

According to an analysis by the Center on Budget and Policy Priorities the McCaskill/Corker plan would require eight hundred billion dollars of cuts in twenty-twenty-two alone. That’s the equivalent of eliminating Medicare entirely, or the entire Department of Defense. Now, obviously, the Defense Department wouldn’t disappear, so what would go?

We’d have to have giant cuts in Medicare, Medicaid, education, and much of everything else American’s depend on.

It’s the republican plan with lipstick. It would have exactly the same result as the current Republican plan. But, by disguising it with caps and procedures Republicans can avoid saying what they’re intending to do, destroy Medicare and Medicaid, slash programs for poor and moderate income Americans, and not demand a penny from wealthy Americans.

The McCaskill/Corker spending cap would also make it impossible for government to boost the economy in recessions, which would lead to even higher unemployment, lasting longer.

Other Senate Democrats are showing interest in this lipsticked pig, including West Virginia’s Joe Machin. And not surprisingly, Joe Lieberman is on board.

But don’t be fooled and don’t let anyone else be. McCaskill/Corker is the same republican pig.

[Tell Congress: No Spending Caps That Slash Medicare]

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On This Day in History May 10

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future.

Find the past “On This Day in History” here.

Click on images to enlarge

May 10 is the 130th day of the year (131st in leap years) in the Gregorian calendar. There are 235 days remaining until the end of the year.

On this day in 1869, the presidents of the Union Pacific and Central Pacific railroads meet in Promontory, Utah, and drive a ceremonial last spike into a rail line that connects their railroads. This made transcontinental railroad travel possible for the first time in U.S. history. No longer would western-bound travelers need to take the long and dangerous journey by wagon train, and the West would surely lose some of its wild charm with the new connection to the civilized East.

Since at least 1832, both Eastern and frontier statesmen realized a need to connect the two coasts. It was not until 1853, though, that Congress appropriated funds to survey several routes for the transcontinental railroad. The actual building of the railroad would have to wait even longer, as North-South tensions prevented Congress from reaching an agreement on where the line would begin.

Route

The Union Pacific laid 1,087 miles (1,749 km) of track, starting in Council Bluffs, and continuing across the Missouri River and through Nebraska (Elkhorn, now Omaha, Grand Island, North Platte, Ogallala, Sidney, Nebraska), the Colorado Territory (Julesburg), the Wyoming Territory (Cheyenne, Laramie, Green River, Evanston), the Utah Territory (Ogden, Brigham City, Corinne), and connecting with the Central Pacific at Promontory Summit. The route did not pass through the two biggest cities in the Great American Desert — Denver, Colorado and Salt Lake City, Utah. Feeder lines were built to service the two cities.

The Central Pacific laid 690 miles (1,100 km) of track, starting in Sacramento, California, and continuing over the Sierra Nevada mountains into Nevada. It passed through Newcastle, California and Truckee, California, Reno, Nevada, Wadsworth, Winnemucca, Battle Mountain, Elko, and Wells, Nevada, before connecting with the Union Pacific line at Promontory Summit in the Utah Territory. Later, the western part of the route was extended to the Alameda Terminal in Alameda, California, and shortly thereafter, to the Oakland Long Wharf at Oakland Point in Oakland, California. When the eastern end of the CPRR was extended to Ogden, it ended the short period of a boom town for Promontory. Before the CPRR was completed, developers were building other railroads in Nevada and California to connect to it.

At first, the Union Pacific was not directly connected to the Eastern U.S. rail network. Instead, trains had to be ferried across the Missouri River. In 1873, the Union Pacific Missouri River Bridge opened and directly connected the East and West.

Modern-day Interstate 80 closely follows the path of the railroad, with one exception. Between Echo, Utah and Wells, Nevada, Interstate 80 passes through the larger Salt Lake City and passes along the south shore of the Great Salt Lake. The Railroad had blasted and tunneled its way down the Weber River canyon to Ogden and around the north shore of the Great Salt Lake (roughly paralleling modern Interstate 84 and State Route 30). While routing the railroad along the Weber River, Mormon workers signed the Thousand Mile Tree, to commemorate the milestone. A historic marker has been placed there. The portion of the railroad around the north shore of the lake is no longer intact. In 1904, the Lucin Cutoff, a causeway across the center of the Great Salt Lake, shortened the route by approximately 43 miles (69 km), traversing Promontory Point instead of Promontory Summit.

 70 – Siege of Jerusalem: Titus, son of emperor Vespasian, opens a full-scale assault on Jerusalem and attacks the city’s Third Wall to the northwest.

1291 – Scottish nobles recognize the authority of Edward I of England.

1497 – Amerigo Vespucci allegedly leaves Cadiz for his first voyage to the New World.

1503 – Christopher Columbus visits the Cayman Islands and names them Las Tortugas after the numerous turtles there.

1534 – Jacques Cartier visits Newfoundland

1655 – England, with troops under the command of Admiral William Penn and General Robert Venables, annexes Jamaica from Spain.

1768 – John Wilkes is imprisoned for writing an article for The North Briton severely criticizing King George III. This action provokes rioting in London.

1774 – Louis XVI becomes King of France.

1775 – American Revolutionary War: Fort Ticonderoga is captured by a small Colonial militia led by Ethan Allen and Colonel Benedict Arnold.

1775 – American Revolutionary War: Representatives from the Thirteen Colonies begin the Second Continental Congress in Philadelphia.

1796 – First Coalition: Napoleon I of France wins a decisive victory against Austrian forces at Lodi bridge over the Adda River in Italy. The Austrians lose some 2,000 men.

1801 – First Barbary War: The Barbary pirates of Tripoli declare war on the United States of America.

1824 – The National Gallery in London opens to the public.

1833 – The desecration of the grave of the viceroy of southern Vietnam Le Van Duyet by Emperor Minh Mang provokes his adopted son to start a revolt.

1837 – Panic of 1837: New York City banks fail, and unemployment reaches record levels.

1849 – Astor Place Riot: A riot breaks out at the Astor Opera House in Manhattan, New York City over a dispute between actors Edwin Forrest and William Charles Macready, killing at least 25 and injuring over 120.

1857 – Indian Mutiny: In India, the first war of Independence begins. Sepoys revolt against their commanding officers at Meerut.

1863 – American Civil War: Confederate General Stonewall Jackson dies eight days after he is accidentally shot by his own troops.

1864 – American Civil War: Colonel Emory Upton leads a 10-regiment “Attack-in-depth” assault against the Confederate works at The Battle of Spotsylvania, which, though ultimately unsuccessful, would provide the idea for the massive assault against the Bloody Angle on May 12. Upton is slightly wounded but is immediately promoted to Brigadier general.

1865 – American Civil War: Jefferson Davis is captured by Union troops near Irwinville, Georgia.

1865 – American Civil War: In Kentucky, Union soldiers ambush and mortally wound Confederate raider William Quantrill, who lingers until his death on June 6.

1869 – The First Transcontinental Railroad, linking the eastern and western United States, is completed at Promontory Summit, Utah (not Promontory Point, Utah) with the golden spike.

1872 – Victoria Woodhull becomes the first woman nominated for President of the United States.

1877 – Romania declares itself independent from the Ottoman Empire following the Senate adoption of Mihail Kogalniceanu’s Declaration of Independence. This act is recognized on March 26, 1881 after the end of the Romanian War of Independence.

1893 – The Supreme Court of the United States rules in Nix v. Hedden that a tomato is a vegetable, not a fruit, under the Tariff Act of 1883.

1908 – Mother’s Day is observed for the first time in the United States, in Grafton, West Virginia.

1922 – The United States annex the Kingman Reef.

1924 – J. Edgar Hoover is appointed the Director of the United States’ Federal Bureau of Investigation, and remains so until his death in 1972.

1933 – Censorship: In Germany, the Nazis stage massive public book burnings.

1940 – World War II: The first German bombs of the war fall on England at Chilham and Petham, in Kent.

1940 – World War II: Germany invades Belgium, the Netherlands, and Luxembourg.

1940 – World War II: Winston Churchill is appointed Prime Minister of the United Kingdom.

1940 – World War II: Invasion of Iceland by the United Kingdom.

1941 – World War II: The House of Commons in London is damaged by the Luftwaffe in an air raid.

1941 – World War II: Rudolf Hess parachutes into Scotland to try to negotiate a peace deal between the United Kingdom and Nazi Germany.

1942 – World War II: The Thai Phayap Army invades the Shan States during the Burma Campaign.

1946 – First successful launch of an American V-2 rocket at White Sands Proving Ground.

1954 – Bill Haley & His Comets release “Rock Around the Clock”, the first rock and roll record to reach number one on the Billboard charts.

1960 – The nuclear submarine USS Triton completes Operation Sandblast, the first underwater circumnavigation of the earth.

1969 – Vietnam War: The Battle of Dong Ap Bia begins with an assault on Hill 937. It will ultimately become known as Hamburger Hill.

1979 – The Federated States of Micronesia become self-governing.

1981 – François Mitterrand wins the presidential election and becomes the first Socialist President of France in the French Fifth Republic.

1993 – In Thailand, a fire at the Kader Toy Factory kills 156 workers.

1994 – Nelson Mandela is inaugurated as South Africa’s first black president.

1997 – A 7.3 Mw earthquake strikes Iran’s Khorasan Province, killing 1,567, injuring over 2,300, leaving 50,000 homeless, and damaging or destroying over 15,000 homes.

2002 – F.B.I. agent Robert Hanssen is given a life sentence without the possibility of parole for selling United States secrets to Moscow for $1.4 million in cash and diamonds.

2003 – The May 2003 tornado outbreak sequence takes place.

2005 – A hand grenade thrown by Vladimir Arutinian lands about 65 feet (20 metres) from U.S. President George W. Bush while he is giving a speech to a crowd in Tbilisi, Georgia, but it malfunctions and does not detonate.

2008 – An EF4 tornado strikes the Oklahoma-Kansas state line, killing 21 people and injuring over 100.

Holidays and observances

   * Christian Feast Day:

       Alphius

       Aurelian of Limoges

       Calepodius

       Catald

       Comgall

       Damien of Molokai (canonized October 11, 2009)

       Gordianus and Epimachus

       John of Avila

       Solange

       May 10 (Eastern Orthodox liturgics)

   * Confederate Memorial Day (North Carolina and South Carolina)

   * Constitution Day (Federated States of Micronesia)

   * Earliest possible day on which Pentecost can fall, while June 13 is the latest; celebrated seven weeks after Easter Day. (Christianity)

* Mother’s Day (El Salvador, Guatemala, and Mexico)

Six In The Morning

Pakistanis disclose name of CIA operative



By Karin Brulliard and Greg Miller, Tuesday, May 10

ISLAMABAD, Pakistan – The public outing of the CIA station chief here threatened on Monday to deepen the rift between the United States and Pakistan, with U.S. officials saying they believed the disclosure had been made deliberately by Pakistan’s main spy agency.

If true, the leak would be a sign that Pakistan’s powerful security establishment, far from feeling chastened by the killing of terrorist leader Osama bin Laden in a Pakistani garrison city last week, is seeking to demonstrate its leverage over Washington and retaliate for the unilateral U.S. operation.

Less than six months ago, the identity of the previous CIA station chief in Islamabad was also disclosed in an act that U.S. officials blamed on their counterparts in Pakistan’s Inter-Services Intelligence agency, or ISI.

China’s trade surplus jumps to $11.4bn

After the country reported a rare trade deficit for the start of this year, China has showed a strong rebound for April but it is likely to fuel US calls to revalue its currency

Associated Press guardian.co.uk, Tuesday 10 May 20

China reported an unexpectedly large April trade surplus, in an announcement that is likely to fuel US pressure over currency controls and market access as American and Chinese officials hold high-level talks in Washington.

China’s global trade surplus widened to $11.4bn (£7bn) as import growth fell amid government efforts to cool an overheated economy and exports rose by nearly 30%, data showed on Tuesday. The gap exceeded forecasts of $5bn to $10bn and was a strong rebound after China reported a rare trade deficit in the first quarter of this year.

Pakistan rejects claims it sheltered Bin Laden



By Andrew Buncombe in Islamabad Tuesday, 10 May 2011

Pakistan’s prime Minister has denounced as “absurd” accusations of complicity in the sheltering of Osama bin Laden and warned yesterday that a repeat of the unilateral operation conducted by US special forces would resort in serious consequences.

In an impassioned televised address before a joint session of the parliament, Yousaf Raza Gilani said protecting the nation’s sovereignty was a priority and claimed the civilian authorities had full confidence in the country’s armed forces. He said a senior Pakistani army officer, Lt-Gen Javed Iqbal, would conduct an investigation into how Bin Laden had been able to live in the garrison town Abbottabad, under the noses of the military establishment, for up to six years.

NATO denies failure to save African migrants

Bloc rejects report that migrants were left to die on board stranded boat, despite distress calls.  

Al Jazeera

NATO has denied a report claiming its military units failed to save dozens of migrants fleeing north Africa by boat which had been adrift in the ocean for 16 days, leading to the deaths of 61 people.

British newspaper The Guardian said despite a distress call from the boat to the Italian coastguard and a military helicopter and NATO warship, no rescue effort was attempted.

It said the boat, carrying 72 people including women, children and political refugees, ran into trouble after leaving Tripoli, the Libyan capital, for the Italian island of Lampedusa on March 25.

By the time the vessel drifted ashore at Zlitan, Libya, on 10 April, all but 11 passengers were dead, and another died after being imprisoned by forces loyal to Muammar Gaddafi, the country’s leader.

Mexicans demand end to drug war bloodshed



Elisabeth Malkin May 10, 2011  

MEXICO CITY: Led by ordinary citizens who were transformed by grief into activists as the drug war claimed their sons and brothers, tens of thousands of Mexicans marched silently through the capital’s avenues on Sunday to demand an end to the bloodshed.

The march was called to send a message to the President, Felipe Calderon, and the rest of the country’s politicians: the strategy against drug gangs has failed and must change.

The movement has coalesced around an unlikely hero: Javier Sicilia, a Catholic poet and journalist whose son was murdered seven weeks ago

Why India chose to disappoint the US



 By Trefor Moss  

India’s procurement of 126 multi-role combat aircraft has been one of the most eagerly anticipated defense deals in years, and not just because of its US$11 billion value.

The selection was always going to be interpreted as an expression of New Delhi’s evolving strategic outlook, and to some in Washington, which has built an increasingly close alliance with India driven by a mutual wariness of China, a win for either Boeing or Lockheed Martin, the two US contractors competing for the contract, seemed assured.

But the Americans were wrong to think that friendship alone would unlock the door to India’s defense dollars

DocuDharma Digest

Regular Features-

Featured Essays for May 9, 2011-

DocuDharma

The Luck Of Jad Peters

As read by Keith

Suicide by Political Attack

(10 am. – promoted by ek hornbeck)

You cannot make this up:

Paul Ryan’s PAC slams AARP as ‘left-leaning pressure group’

Rep. Paul Ryan’s (R-Wis.) political group went on the attack Monday against AARP, calling one of the most powerful lobbies a “left-leaning pressure group.”

   Ryan’s Prosperity PAC sought to push back on attacks by AARP against the House Budget Committee chairman’s 2012 budget, specifically its proposed changes to Medicare.

   “Last week, the American Association of Retired Persons (AARP), a left-leaning pressure group with significant business interests in the insurance industry, launched a national ad campaign that intentionally misleads seniors about the Medicare debate,” wrote Pat Shortridge, a senior adviser to Ryan’s PAC, in an email to supporters.

   Ryan’s Medicare proposal has been a particular point of criticism by Democrats and groups on the left, which say that the Medicare plan would significantly revamp the entitlement program to the detriment of seniors. Democrats have homed in their attacks against that part of the Ryan budget, which has sparked some degree of heartburn among Republicans.

   AARP launched ads last week warning against “harmful cuts” to Medicare and Social Security it said Republicans favored.

History repeating itself from 2005]:

Now some people on the right want you to think of gay marriage and Sunni insurgency. The New York Times this morning reported that the lobbyists who brought you the “Swift Boat Veterans for Truth” have been contracted to promote the agenda of USA Next, a conservative lobbying group. To build support, USA Next is portraying AARP – which opposes the White House’s pseudo-plan for privatizing Social Security – as some kind of liberal extremist group.

How’d that 2006 election turn out, Mr. Ryan?

“Boner” tells Wall St. Medicare is still on the agenda to raise the debt ceiling:

In a speech to the Economic Club of New York in Midtown Manhattan, the Ohio Republican is set to reiterate to leading financial executives that he believes that reforming Medicare should be part of negotiations in raising the debt ceiling, saying that there needs to be “an honest conversation,” because the program is on an “unsustainable path if changes are not made,” according to sources familiar with the speech. Boehner also is expected to advocate for immediate cuts rather than deficit and debt targets preferred by some Democrats.

After his talk, Boehner will take questions from two prominent Wall Street players at the intersection of Washington power: Peter G. Peterson, the private-equity giant who worked for President Richard Nixon, and Observatory Group CEO Jane Hartley, who worked for President Jimmy Carter….

Boehner’s public insistence that reforming Medicare stay a part of debt ceiling negotiations could reaffirm a concern among Wall Street types that Republicans are driving a hard bargain on the limit and will take the negotiations up to the last minute. Boehner said last week Congress must now cut trillions, not billions….

Friday evening, in a sign of unity after a disjointed week, GOP leadership, along with Ryan and Camp, released a statement saying “everything must be on the table except increasing taxes.”

Freshmen, who voted en masse for the Ryan budget, largely want entitlement reform dealt with.

President Obama needs to stand up to these threats to the social safety nets and let the GOP send itself into political oblivion. I have my doubts that Obama can do this. I will be shocked, I tell you shocked, if he calls them in this. This is no longer 11 dimensional chess. It’s now a game of straight draw poker.  

Evening Edition

Evening Edition is an Open Thread

Now with 60 Top Stories.

From Yahoo News Top Stories

1 Rebels drive Kadhafi forces back from Misrata

by Alberto Arce, AFP

16 mins ago

MISRATA, Libya (AFP) – Rebels fighting to oust Libyan leader Moamer Kadhafi drove his forces back from around Misrata on Monday and were poised to make another thrust, as NATO said the strongman’s time was running out.

After heavy clashes, the rebels controlled a stretch of coastal road west of Misrata, Libya’s third city which Kadhafi’s forces have laid siege to for more than two months, forcing thousands to flee.

The Red Cross said meanwhile it delivered a shipment of humanitarian aid to the rebel-held western city amid concerns Kadhafi’s forces may have dropped mines into the harbour from helicopters bearing the Red Cross emblem.

AFP

2 NATO says Kadhafi’s time is up as fighting rages

by Alberto Arce, AFP

Mon May 9, 8:24 am ET

MISRATA, Libya (AFP) – Time is running out for Libyan leader Moamer Kadhafi, NATO chief Anders Fogh Rasmussen said, even as the strongman’s forces laying siege to Misrata intensified their assault on the lifeline port.

“The game is over for Kadhafi. He should realise sooner rather than later that there’s no future for him or his regime,” the NATO secretary-general told CNN’s “State of the Union” programme late Sunday.

“We have stopped Kadhafi in his tracks. His time is running out. He’s more and more isolated,” Rasmussen said.

3 Syria rounds up thousands in crackdown: activists

AFP

33 mins ago

DAMASCUS (AFP) – Syrian security forces rounded up thousands of men as they went house to house in a bid to crush an anti-regime protest movement in the coastal city of Banias on Monday, as shots rang out in a Damascus suburb surrounded by troops, activists said.

The European Union meanwhile said an arms embargo and sanctions against 13 Syrian officials deemed responsible for the regime’s brutal crackdown on protesters would come into force on Tuesday.

And the United Nations complained that Syrian authorities blocked one of its teams from entering the southern town of Daraa, epicentre of the protests, and voiced concern for the plight of Palestinian refugees there.

4 ‘Gunfire, arrests’ in Damascus suburb

AFP

Mon May 9, 8:49 am ET

DAMASCUS (AFP) – Gunfire echoed through a Damascus suburb on Monday, while security forces backed by tanks arrested hundreds in the coastal city of Banias to crush opposition to the Syrian regime, rights activists said.

One activist, declining to be named for security reasons, said that telephone lines to Muadamiya in western Damascus were cut while a witness said the main road to the Damascus suburb had been sealed off.

The source of the gunfire could not immediately be determined.

5 Egypt warns ‘iron hand’ to halt religious unrest

by Jailan Zayan, AFP

Mon May 9, 4:12 am ET

CAIRO (AFP) – Egypt’s government has warned it will use an “iron hand” to ensure national security after clashes between Muslims and Christians in Cairo killed 12 people and injured scores.

Authorities would “strike with an iron hand all those who seek to tamper with the nation’s security,” Justice Minister Abdel Aziz al-Gindi told reporters after the cabinet held crisis talks on Sunday.

Gindi said the government would “immediately and firmly implement the laws that criminalise attacks against places of worship and freedom of belief” using anti-terror laws to combat those “threatening national security.”

6 Egypt sectarian deaths slammed amid civil war fear

by Mona Salem, AFP

Mon May 9, 12:40 pm ET

CAIRO (AFP) – Egyptian media on Monday accused “anti-revolutionaries” of trying to trigger sectarian conflict, as a top cleric warned the country could be engulfed in civil war.

The government has vowed to use an “iron fist” to ensure national security after Saturday’s deadly clashes in Cairo, branded by Nobel peace laureate Mohamed ElBaradei as “religious extremism of the Middle Ages.”

“We are facing the anti-revolutionary groups who are convinced that any success of the revolution was an even greater threat to their interests and so are trying to fuel confessional conflict,” wrote the flagship Al-Ahram newspaper.

7 Pakistan denies ‘absurd’ accusations on bin Laden

by Nasir Jaffry, AFP

1 hr 13 mins ago

ISLAMABAD (AFP) – Pakistan’s prime minister on Monday dismissed as “absurd” accusations that Al-Qaeda leader Osama bin Laden must have benefited from official complicity or incompetence to hide out in his country.

Addressing parliament in his first comments since bin Laden was killed by US Navy SEALs a week ago less than a mile from a top military academy, Yousuf Raza Gilani promised an investigation, to be led by a top Pakistani general.

Pakistan is a key Washington ally in the US-led war on terrorism, but with already tense relations stretched even further by the discovery of bin Laden, Gilani issued thinly veiled criticisms of Washington.

8 US tells China: Reform in its own interest

by Shaun Tandon and Veronica Smith, AFP

30 mins ago

WASHINGTON (AFP) – The United States told China on Monday that improvements in human rights and economic reforms would serve Beijing’s own interests and promised it was not seeking to contain the Asian power’s rise.

Launching two days of talks, Vice President Joe Biden predicted that the relationship between the world’s largest economies would shape the 21st century and said: “A healthy competition, in our view, is good for both of us.”

“For many of the world’s pressing problems, it’s a simple fact that when the United States and China are not at the table, the solution to the problem is less possible,” Biden said at the annual Strategic and Economic Dialogue.

9 HSBC delivers mixed earnings before key strategy update

by Ben Perry, AFP

20 mins ago

LONDON (AFP) – HSBC bank said on Monday that net profits surged 58 percent to $4.15 billion in the first quarter on lower taxes and bad debts, as the Asia-focused giant prepared to deliver a key strategy review.

But Europe’s biggest bank added that its pre-tax gains were pushed down by rises to staff costs and by money set aside to compensate customers in Britain who were mis-sold credit insurance.

The group headquartered in London said that profit after tax for the three months to March 31 rocketed to $4.153 billion (2.88 billion euros) from $2.631 billion in the first quarter of 2010.

10 S&P slashes Greece rating as EU mulls new help

AFP

1 hr 56 mins ago

PARIS (AFP) – Standard and Poor’s slashed its credit rating for Greece Monday, citing a possible debt restructuring, as the EU mulls more help for Athens to avoid a messy default which could hurt the entire eurozone.

The ratings agency warned that its own “projections” suggested that merely rescheduling Greece’s debt repayments will not be enough and that private and state investors may only ever see half of their loans back again.

“Principal (capital) reductions of 50 percent or more could eventually be required to restore Greece’s debt burden to a sustainable level,” S&P’s said.

11 Cyclist Weylandt dies after Giro d’Italia crash: team

AFP

31 mins ago

RAPALLO, Italy (AFP) – Belgian rider Wouter Weylandt was pronounced dead Monday following a horrific crash on the third stage of the Giro d’Italia, his Leopard-Trek team confirmed.

“Today, our teammate and friend Wouter Weylandt passed away after a crash on the third stage of the Giro d?Italia,” said Leopard-Trek Manager Brian Nygaard.

“The team is left in a state of shock and sadness and we send all our thoughts and deepest condolences to the family and friends of Wouter.

12 Russia flexes nuclear muscle on Victory Day

by Dmitry Zaks, AFP

14 mins ago

MOSCOW (AFP) – Some 20,000 soldiers and Russia’s most advanced missiles rumbled across Red Square on Monday in a parade marking victory in World War II and reinforcing the country’s belief in its Soviet-era might.

But the lustre of the annual show of force was somewhat dimmed by renewed doubts about the wisdom of staging the costly exhibition and reports that Islamists were planning to undermine the celebration by staging new attacks.

A well-rehearsed 1,500-piece orchestra set the tone to the procession by booming out festive marches as President Dmitry Medvedev and Prime Minister Vladimir Putin watched from a podium in front of Lenin’s mausoleum.

13 Berlusconi slams judges in ‘false testimony’ trial

AFP

Mon May 9, 11:13 am ET

MILAN (AFP) – Italian Prime Minister Silvio Berlusconi slammed judges as “a cancer of democracy” Monday during his first appearance at a trial for bribery, one of three court cases he is currently facing.

He was speaking during a break in the hearing where he is charged with paying his former British lawyer David Mills $600,000 to give false testimony about his business dealings.

He again laid into the prosecutors in Milan, accusing them of persecuting him for political reasons.

Reuters

14 Ratings agencies hammer Greece in EU chaos

By Ingrid Melander and John O’Donnell, Reuters

Mon May 9, 2:03 pm ET

ATHENS/BRUSSELS (Reuters) – Credit ratings agencies hammered Greece on Monday after senior euro zone policymakers acknowledged that Athens will need a second bailout package soon to avert a disorderly overhaul of its debt obligations.

Officials said the European Union was also looking to lower interest rates on rescue loans to Ireland within weeks and eyeing easier bailout terms for Greece as the common currency area floundered deeper into crisis.

But ratings agency Standard & Poor’s suggested far more radical measures would be required to make Greece’s 327 billion euros ($470 billion) debt mountain sustainable, saying Athens may have to reduce the face value of its bonds by up to 70 percent, implying big losses for investors.

15 Japan to shut nuclear plant on quake fears

By Chikako Mogi and Risa Maeda, Reuters

1 hr 17 mins ago

NAGOYA/TOKYO, Japan (Reuters) – Japanese power firm Chubu Electric on Monday agreed to shut a nuclear plant until it can be better defended against the type of massive tsunami that in March triggered the worst atomic crisis in 25 years.

The temporary shutdown of Hamaoka, which supplies power to central Japan — home to many manufacturers including Toyota Motor Corp — has added to concerns about power shortages following the crisis at another plant in northeast Japan that was crippled by the March 11 quake and tsunami.

Chubu’s decision was in response to an unprecedented request by Prime Minister Naoto Kan last week to halt all reactors still operating at Hamaoka, citing the high risk that a powerful earthquake would hit the region in coming years.

16 Pakistan PM rejects accusations over bin Laden

By John Chalmers, Reuters

2 hrs 16 mins ago

ISLAMABAD (Reuters) – Pakistan Prime Minister Yusuf Raza Gilani rejected allegations on Monday that the killing of Osama bin Laden near Islamabad by U.S. forces showed Pakistani incompetence or complicity in hiding the al Qaeda leader.

Opposition politicians have stepped up their criticism of Pakistan’s leaders over the killing of bin Laden in a raid by U.S. special forces in a northern Pakistani town on May 2.

Pakistan welcomed the death of bin Laden, who plotted the September 11, 2001, airliner attacks on the United States, as a step in the fight against militancy but also complained the raid violated its sovereignty.

17 Biden, Clinton bluntly press China on rights

By Andrew Quinn, Reuters

Mon May 9, 11:56 am ET

WASHINGTON (Reuters) – Vice President Joseph Biden warned China Monday the United States would press hard on human rights, over which the two sides have a “vigorous” disagreement and criticizing Beijing’s latest crackdown on dissent.

Biden and Secretary of State Hillary Clinton both used unusually blunt language on human rights at the start of an annual meeting of top officials from the two nations, saying the United States was concerned about Beijing’s recent clampdown, which has involving arrests, detentions and secretive confinement of human rights lawyers, protesters and dissidents.

“No relationship that’s real can be built on a false foundation. Where we disagree, it’s important to state it. We will continue to express our views on these issues,” Biden said at the opening of the Strategic and Economic Dialogue meeting in Washington.

18 Apple usurps Google as world’s most valuable brand

Reuters

Mon May 9, 2:03 pm ET

LONDON (Reuters) – Apple has overtaken Google as the world’s most valuable brand, ending a four-year reign by the Internet search leader, according to a new study by global brands agency Millward Brown.

The iPhone and iPad maker’s brand is now worth $153 billion, almost half Apple’s market capitalization, says the annual BrandZ study of the world’s top 100 brands.

Apple’s portfolio of coveted consumer goods propelled it past Microsoft to become the world’s most valuable technology company last year.

19 More calls replayed for Rajaratnam trial jury

By Grant McCool, Reuters

31 mins ago

NEW YORK (Reuters) – The jury in the closely-watched insider trading trial of hedge fund manager Raj Rajaratnam reheard on Monday a dozen FBI phone taps centered on one transaction in the charges against the Galleon Group founder.

While the Manhattan federal court jurors began their third week of deliberations, final preparations were made for a separate trial of three defendants to hear as many as 100 secretly recorded conversations, also part of the government’s sweeping insider trading probe.

The three defendants — whose trial starts on May 16 with jury selection four floors above the courtroom where Rajaratnam has been on trial since March 8 — are former Galleon trader Zvi Goffer, who founded Incremental Capital, and two other former Incremental traders, Zvi’s brother, Emanuel Goffer, and Michael Kimelman.

20 Congress to see more theatrics over high oil

By Timothy Gardner, Reuters

Mon May 9, 1:40 pm ET

WASHINGTON (Reuters) – U.S. lawmakers will clash this week over strategies for combating high gasoline prices and repealing tax incentives enjoyed by Big Oil companies, but there is little chance of a breakthrough for drivers.

U.S. gasoline prices are set to hover near $4 a gallon this week, about 11 cents off the record hit in 2008, as last week’s 15 percent drop in oil prices to below $100 a barrel takes time to work its way to service stations.

Failing more big drops in the oil market, consumers will continue to struggle with high fuel prices.

21 Special report: What really triggered oil’s greatest rout

Reuters

Mon May 9, 2:45 am ET

NEW YORK (Reuters) – When oil prices fell below $120 a barrel in early New York trade last Thursday, a few big companies that are major oil consumers started buying around $117.

It looked like a bargain. Brent crude had been trading above $120 for a month. But the buying proved ill-timed. Crude kept on falling.

“They were down millions by the end of the day, trying to catch a falling piano,” an executive at a major New York investment bank said.

22 Memphis-area residents await Mississippi flooding

By John Branston, Reuters

Sun May 8, 8:16 pm ET

MEMPHIS, Tennessee (Reuters) – Emergency officials on Sunday had issued evacuation notices to more than 1,300 Memphis area homes, warning they were at risk of dangerous flooding as the region braces for the highest Mississippi River crest since 1937.

The Mississippi, which is projected to crest at Osceola, Arkansas, early on Monday, is expected to crest in Memphis on Tuesday at 48 feet, just inches shy of the record.

With the crest more than a day away, residents and tourists were recording the river’s rise, snapping photographs of water flowing over Beale Street, the city’s well-known tourist destination, and riding the popular sightseeing riverboats.

23 Greece seeks 2012 funding as lenders probe progress

By Lefteris Papadimas and Dina Kyriakidou, Reuters

2 hrs 35 mins ago

ATHENS (Reuters) – Greece said it was talking with euro zone partners on ways to plug a 27 billion euro ($39 billion) funding hole next year as a new credit rating cut on Monday made its return to markets even more difficult.

Debt-ridden Greece wants international lenders to ease terms of a 110 billion euro bailout and get fresh funding to avoid default, Greek officials said. They made the comments as European Union and International Monetary Fund inspectors found delays in Greece’s reforms and fiscal efforts.

“The initial plan was for Greece to return to markets (to raise 27 billion euros) in 2012. At this moment this appears difficult,” Labour Minister Louka Katseli told Reuters. “Discussions are taking place at a European level to explore alternative responses.”

24 Ireland ramps up push for better bailout deal

By Carmel Crimmins, Reuters

Mon May 9, 10:44 am ET

DUBLIN (Reuters) – Ireland warned on Monday it would need more favorable terms to rid itself of its debt troubles and said it was confident of securing a cut in the interest it pays for its EU aid without conceding ground on tax rates.

The European Union is working to lower interest rates on bailout loans to Greece and Ireland and is looking at a second rescue for Athens in a chaotic effort to prevent a disorderly debt restructuring.

The Irish government believes the renewed rise in tensions around Greece has strengthened its hand in talks with its EU partners.

25 Heavy fighting near Libya’s Misrata airport: rebels

By Guy Desmond, Reuters

Sun May 8, 2:38 pm ET

TRIPOLI (Reuters) – Libyan rebels fought a fierce battle with forces loyal to Muammar Gaddafi near the airport at the western city of Misrata on Sunday as NATO planes targeted government ammunition stores on another front in the war.

Hundreds have died in Misrata, which is the scene of weeks of conflict as rebels fighting to end Gaddafi’s decades in power attempt to hold off a government siege.

The port city is considered crucial to rebels’ chances of success because it stands as the last city they hold in the west of the country.

26 Egypt vows crackdown after 12 die in religious strife

By Sarah Mikhail, Reuters

Sun May 8, 12:58 pm ET

CAIRO (Reuters) – Egypt’s government announced measures to curb religious violence on Sunday after 12 people died in clashes in a Cairo suburb sparked by rumors that Christians had abducted a woman who converted to Islam.

The fighting on Saturday was Egypt’s worst interfaith strife since 13 people died on March 9 after a church was burned, and it threw down a new challenge for generals ruling the country since the overthrow of President Hosni Mubarak in February.

Prime Minister Essam Sharaf canceled a tour of Gulf Arab states to chair a cabinet meeting where the government decided to deploy more security near religious sites and toughen laws criminalising attacks on places of worship.

27 Apple, Google to face lawmakers in privacy tussle

By Diane Bartz, Reuters

Sun May 8, 12:42 pm ET

WASHINGTON (Reuters) – Tech companies such as Apple and Google are hoping the tracks of millions of mobile device users will lead to billions of dollars in revenue.

But where they see dollar signs, lawmakers see red flags.

The revelation last month that Apple’s iPhones collected location data and stored it for up to a year — even when location software was supposedly turned off — has prompted renewed scrutiny of the nexus between location and privacy.

28 Libyan rebels remake schools for Gaddafi-free thought

By Deepa Babington, Reuters

Sun May 8, 11:57 am ET

BENGHAZI, Libya (Reuters) – How do you teach in schools where history books omitted revolutions, geography books had few maps and children learned never to question authority?

Libyan rebels are having to come up with responses to those and related issues as they try to reopen schools in rebel-held Benghazi where in the past much of the curriculum was devoted to the wisdom of longtime ruler Colonel Muamma Gaddafi.

Before the uprising against him began in February, “Mushtama” and “Fikr-al-Jamahiri” weekly lessons based on the Gaddafi doctrine were mandatory and the leader’s thinking permeated everything from history to Arabic textbooks, rebels say.

29 Bahrain to lift state of emergency from June 1

By Frederik Richter, Reuters

Sun May 8, 11:23 am ET

MANAMA (Reuters) – Bahrain’s king has ordered a state of emergency to be lifted from June 1, after imposing it following weeks of Shi’ite-led street protests in the Gulf Arab kingdom, the state news agency said Sunday.

Bahrain, where the Sunni king rules over a Shi’ite majority, declared emergency law in March before forcibly quelling the protests calling for greater political freedoms, a constitutional monarchy and an end to sectarian discrimination.

“The state of national safety is lifted across the kingdom of Bahrain from June 1, 2011,” state news agency BNA quoted the king’s decree as saying. It had been due to expire in mid-June.

30 Al Qaeda leader, 17 others killed in Iraq jail clash

By Muhanad Mohammed, Reuters

Sun May 8, 11:08 am ET

BAGHDAD (Reuters) – Eighteen people, including an al Qaeda leader and a senior Iraqi counter-terrorism official, died in a battle between inmates and security officers during a jailbreak attempt in Baghdad Sunday, security officials said.

Huthaifa al-Batawi, known as al Qaeda’s “Emir of Baghdad” and accused of a deadly attack on a Catholic church, was killed along with 10 other senior al Qaeda militants, said Baghdad’s security spokesman Major-General Qassim al-Moussawi.

The skirmish at an Interior Ministry counter-terrorism unit jail complex in Baghdad’s central Karrada district began when a prisoner grabbed a gun from a guard, killed several guards and ministry officers, and gave a weapon to other inmates, Moussawi said.

AP

31 Despite differences, Obama, GOP eye Medicare limit

By RICARDO ALONSO-ZALDIVAR, Associated Press

42 mins ago

WASHINGTON – Unlikely as it may seem, President Barack Obama and Republicans in Congress actually share some common ground on the need to curb Medicare costs to fight the spiraling federal debt.

Although the House GOP plan to replace Medicare with a voucher-like system got shunted aside last week, that may not be the end of the story. Embedded in both the Republican plan and in Obama’s counter-proposal is the idea of putting limits on the growth of the half-trillion-dollar-a-year program – and then enforcing them.

High-level deficit negotiations resume Tuesday under the stewardship of Vice President Joe Biden, and tackling health care spending is critical to what could become the year’s most important legislation.

32 Pakistan suspected of retaliating after US raid

By SEBASTIAN ABBOT, Associated Press

44 mins ago

ISLAMABAD – Suspicion rose Monday that Pakistan’s intelligence service leaked the name of the CIA chief in Islamabad to local media in anger over the raid that killed Osama bin Laden – the second outing of an American covert operative here in six months.

The U.S. said it has no plans to pull the spy chief, but the incident is likely to exacerbate an already troubled relationship between the two countries a week after Navy SEALs in helicopters swooped down on bin Laden’s compound without first telling the Pakistanis. The CIA and Pakistan’s spy agency have long viewed each other with suspicion, which the death of the terror leader has laid bare.

The Pakistani military and intelligence services have suffered withering criticism at home for failing to stop the U.S. operation. Many Pakistanis view the raid as a violation of their sovereignty – even if they were pleased that bin Laden was killed.

33 Gingrich, with experience and baggage, joins race

By SHANNON McCAFFREY and PHILIP ELLIOTT, Associated Press

45 mins ago

ATLANTA – Newt Gingrich, the House speaker who led a national GOP resurgence in the 1990s before facing ethics questions and resigning, is running for president.

Gingrich’s announcement, made on social networking websites Monday, came after months of public flirting with a bid. He enters a slow-to-form GOP presidential field that has left some Republicans craving more options as they search for a nominee strong enough to credibly challenge President Barack Obama.

The former Georgia congressman, well-known to most Republicans, brings to the race a years-in-the-making political machine with ties to early nominating states as well as a network of supporters and donors. But his personal baggage – he’s acknowledged marital infidelity and has had two divorces – could hinder his chances of winning the party’s presidential nomination more than a decade after leaving the House.

34 Ariz. taking immigration law to US Supreme Court

By PAUL DAVENPORT, Associated Press

47 mins ago

PHOENIX – Arizona Gov. Jan Brewer announced Monday she will ask the U.S. Supreme Court to overturn a ruling that put the most controversial parts of the state’s immigration enforcement law on hold.

The planned appeal to the high court comes after Brewer lost an initial appeal April 11, when a three-judge panel of the 9th Circuit Court of Appeals refused to reverse a lower court’s order that prevented key parts of the law from being enforced.

Attorney General Tom Horne said going directly to the Supreme Court and skipping a possible second appeal to the 9th Circuit will save time in resolving the case, while Brewer said she is confident “Arizona will prevail in its fight to protect its citizens.”

35 Chile approves huge dam project in wild Patagonia

By MICHAEL WARREN and EVA VERGARA, Associated Press

24 mins ago

SANTIAGO, Chile – A $7 billion project to dam two of the world’s wildest rivers for electricity has won environmental approval Monday from a Chilean government commission, despite a groundswell of opposition.

The commissioners – all political appointees in President Sebastian Pinera’s government – concluded a three-year environmental review by approving five dams on the Baker and Pascua rivers in Aysen, a mostly roadless region of remote southern Patagonia where rainfall is nearly constant and rivers plunge from Andean glaciers to the Pacific Ocean through green valleys and fjords.

Monday’s vote – 11 in favor and one abstention – could prove to be pivotal for the future of Chile, which has a booming economy, vast mineral wealth and a determination to join the elite group of first-world nations.

36 Republicans in Texas Senate approve guns on campus

By JIM VERTUNO, Associated Press

37 mins ago

AUSTIN, Texas – Republicans in the Texas Senate on Monday approved allowing concealed handgun license holders to carry weapons into public college buildings and classrooms, moving forward on a measure that had stalled until supporters tacked it on to a universities spending bill.

Sen. Jeff Wentworth, R-San Antonio, had been unable to muster the votes he needed under Senate rules to pass the issue as its own bill after the measure met stiff resistance from higher education officials, notably from within the University of Texas system.

The measure seemed all but assured easy passage when the legislative session began in January. The Senate had passed a similar bill in 2009 and about 90 lawmakers in the 150-member House had signed on in support this year. But the bill stalled on its first three votes in the Senate and took some maneuvering by Wentworth to get it through.

37 Woman free from prison for belated Mother’s Day

By LYNN DeBRUIN, Associated Press

41 mins ago

DRAPER, Utah – A Utah woman freed from prison after 17 years began celebrating a belated Mother’s Day with her family Monday now that she has been declared “factually innocent” in a 1993 murder.

Debra Brown is the first inmate exonerated under a 2008 Utah law allowing judges to reconsider convictions based on new factual – not scientific – evidence.

Brown’s exit from the Utah State Prison touched off an emotional reunion in the pouring rain.

38 Steinbrenner helped FBI before winning pardon

By FREDERIC J. FROMMER and PETE YOST, Associated Press

36 mins ago

WASHINGTON – The FBI released documents Monday stating that New York Yankees owner George Steinbrenner assisted the agency in two investigations – one of them apparently a terrorism probe – in the years leading up to his pardon by President Ronald Reagan on a campaign-contributions conviction.

The Associated Press and other news organizations requested the FBI file under the Freedom of Information Act following Steinbrenner’s death in July. The first release was made last December. The two releases combined totaled about 800 pages.

In a newly released 1988 FBI memo, the FBI said that it “supports the contention that George Steinbrenner has provided the FBI with valuable assistance.”

39 Boehner says ‘trillions’ in cuts loom on debt vote

By ANDREW TAYLOR, Associated Press

53 mins ago

WASHINGTON – The top Republican in Congress wants trillions of dollars in spending cuts as part of must-pass legislation allowing the federal government to continue borrowing to keep it operating and meeting obligations to investors.

House Speaker John Boehner also says that any legislation to raise the so-called debt limit beyond its current $14.3 trillion cap should be accompanied by spending cuts larger than the amount of the permitted increase in the debt.

The Ohio Republican was scheduled to make the comments in a speech Monday night to the New York Economic Club; excerpts were released after the markets closed. Boehner’s comments come as investors and business groups have been seeking assurances that the GOP-controlled House will join with President Barack Obama and the Democratic-led Senate to enact the must-pass debt limit measure, which is needed to prevent a market-roiling, first-ever U.S. default on its obligations.

40 Cycling rocked by Belgian cyclist’s death in Giro

By JEREMY INSON, Associated Press

1 hr 54 mins ago

MILAN – Hurtling down an Italian mountain pass at a speed that only a car would normally reach, Belgian cyclist Wouter Weylandt lost control of his bike for just a split second. In a sport where the smallest mistake can have catastrophic consequences, it proved lethal.

Weylandt tumbled to his death Monday in a downhill crash during the third stage of the Giro d’Italia, with the riders going 40 mph to 50 mph at the time. It was the first fatality at the Italian race in 25 years and the first at one of the sport’s showcase tours in 16 years.

It was one of the most high-profile deaths at an international sports event since Georgian luger Nodar Kumaritashvili’s fatal crash in training on the eve of last year’s Vancouver Olympics. It also renewed questions about safety in cycling, where riders zip down winding mountain roads with steep drops and hairpin curves.

41 Syrian authorities detain hundreds in fresh raids

By BASSEM MROUE, Associated Press

Mon May 9, 3:46 pm ET

BEIRUT – Syrian security forces arrested hundreds of activists and anti-government protesters in house-to-house raids across the country Monday, part of an escalating government crackdown aimed at stamping out a revolt engulfing the country.

The government’s punishing response triggered new international sanctions Monday, as the European Union imposed an arms embargo. The measure, which followed U.S. sanctions, also prohibits 13 Syrian government officials from traveling anywhere in the 27-nation EU and freezes their assets.

President Bashar Assad has dispatched army troops and tanks to crush the seven-week uprising that has posed the most serious challenge to his family’s 40-year rule. Assad’s regime appears determined to crush the uprising by force and intimidation, despite the rapidly growing international outrage and a death toll that has topped 630 civilians since the unrest began, according to rights groups.

42 Samoa to go Back to the Future, shifting date line

Associated Press

Mon May 9, 2:09 pm ET

APIA, Samoa – Samoa plans to leap 24 hours into the future, erasing a day and putting a new kink in the Pacific’s jagged international date line so that it can be on the same weekday as Australia, New Zealand and eastern Asia.

It’ll be Back to the Future for the island nation, offsetting a decision it made 119 years ago to stay behind a day and align itself with U.S. traders based in California.

That has meant that when it’s dawn Sunday in Samoa, it’s already dawn Monday in adjacent Tonga and shortly before dawn Monday in nearby New Zealand, Australia and increasingly prominent eastern Asia trade partners such as China.

43 Quake shifted Japan; towns now flood at high tide

By JAY ALABASTER, Associated Press

Mon May 9, 5:46 am ET

ISHINOMAKI, Japan – When water begins to trickle down the streets of her coastal neighborhood, Yoshiko Takahashi knows it is time to hurry home.

Twice a day, the flow steadily increases until it is knee-deep, carrying fish and debris by her front door and trapping people in their homes. Those still on the streets slosh through the sea water in rubber boots or on bicycle.

“I look out the window, and it’s like our houses are in the middle of the ocean,” says Takahashi, who moved in three years ago.

44 More evacuations in Memphis as Mississippi rises

By ADRIAN SAINZ, Associated Press

Mon May 9, 2:09 am ET

MEMPHIS, Tennessee – The swollen Mississippi River has swamped houses in Memphis and threatens to consume many more, but its rise has been slow enough that some people were clinging to their normal lives just a bit longer. That much was clear Sunday from an unexpected smell – barbecue – in a neighborhood that already lost three houses.

With the river just feet from her single-story home, Shirley Woods had the grill going in the backyard, cooking ribs, pork chops, chicken and hot dogs. She was getting ready to make potato salad.

When she woke up at first light, she was prepared to leave if the Mississippi had gotten high enough, but she decided she had time to at least celebrate Mother’s Day here with relatives.

45 Conn. hospital settles doctor-sex abuse lawsuits

By DAVE COLLINS, Associated Press

Mon May 9, 3:17 pm ET

HARTFORD, Conn. – A hospital on Monday settled lawsuits with 32 people who say they were sexually abused by a prominent, now-dead doctor believed to have molested scores of children over three decades with a bogus human growth study.

The deal between the plaintiffs and St. Francis Hospital and Medical Center in Hartford came during the middle of jury deliberations in the first of more than 90 lawsuits involving the late Dr. George Reardon to go to trial. Terms of the settlements were not disclosed.

The hospital was accused of failing to properly monitor Reardon, who died in 1998 without ever facing criminal charges. St. Francis also was accused of failing to protect children from harm and of not confirming the validity of Reardon’s study.

46 INFLUENCE GAME: Defending aid to Pakistan not easy

By RICHARD LARDNER, Associated Press

Mon May 9, 6:25 am ET

WASHINGTON – Within hours of the stunning announcement that Osama bin Laden had been killed by U.S. commandos, a lobbying firm representing Pakistan’s government began contacting members of Congress and their staffs to counter claims Islamabad protected the al-Qaida chief for nearly six years.

The push by Locke Lord Strategies to turn the tide against criticism of Pakistan – and preserve the country’s billions of dollars in U.S. aid – illustrates one of Washington’s enduring realities: No matter the issue or the crisis, lobbyists are working behind the scenes to shape opinions on Capitol Hill.

At stake is the continued flow of U.S. economic aid and military support to Pakistan, America’s iffy partner in the fight against terrorism and religious extremism. Congress is not expected to shut off the nearly $3 billion in assistance planned for 2012. Despite deep misgivings, the U.S. does not want to allow Pakistan to become unstable and risk having its nuclear arsenal fall into the hands of Islamic radicals.

47 Calif. teachers protest budget at state Capitol

By JULIET WILLIAMS and ADAM WEINTRAUB, Associated Press

8 mins ago

SACRAMENTO, Calif. – Hundreds of teachers from around California descended on the state Capitol Monday to make the case for extending tax hikes as a way to stave off deep budget cuts to public education.

Amid tightened security, the teachers marched to the Capitol in hopes of meeting with lawmakers and even staging sit-ins in the building.

The day was a kick-off to a week of action the California Teachers Association has dubbed a “State of Emergency.” It includes demonstrations and teach-ins throughout the state as schools face the prospect of mass layoffs and program cuts.

48 Circus scions bring feud into federal courtroom

By NEDRA PICKLER, Associated Press

1 hr 5 mins ago

WASHINGTON – The scions of the family entertainment empire built on the Ringling Bros. & Barnum and Bailey circus brought their decades-old feud into a federal courtroom Monday and immediately impugned each other’s motives during a 2007 memorial service for the woman who reared them.

Karen Feld is suing her brother for $110 million of his fortune because she says his security guards beat and groped her as they forcibly removed her from their Aunt Shirley’s shiva service at the Washington penthouse where they grew up together. She says the assault at her brother’s direction exacerbated a brain injury and injured an arthritic knee, leading to surgery on both.

An attorney for Kenneth Feld, who now owns Feld Entertainment, responded that his sister’s claims are bogus and suggested she had more interest in grabbing their aunt’s jewelry than mourning her death. Kenneth Feld’s attorney Matthew Kirtland said Karen Feld desecrated the shiva by trying to sneak into a back bedroom, then exploding in a rage when her brother’s security guards tried to stop her. Kenneth Feld, who lives in Tampa, Fla., has countersued his sister for trespassing.

49 Drought descends on Texas, surrounding states

By BETSY BLANEY, Associated Press

44 mins ago

LUBBOCK, Texas – With much of the nation focused on a spring marked by historic floods and deadly tornadoes, Texas and parts of several surrounding states are suffering through a drought nearly as punishing as some of the world’s driest deserts.

Some parts of the Lone Star State have not seen any significant precipitation since August. Bayous, cattle ponds and farm fields are drying up, and residents are living under constant threat of wildfires, which have already burned across thousands of square miles.

Much of Texas is bone dry, with scarcely any moisture to be found in the top layers of soil. Grass is so dry it crunches underfoot in many places. The nation’s leading cattle-producing state just endured its driest seven-month span on record, and some ranchers are culling their herds to avoid paying supplemental feed costs.

50 APNewsBreak: Gay rights papers shown at US library

By BRETT ZONGKER, Associated Press

56 mins ago

WASHINGTON – Documents from gay rights history are on display for the first time at the Library of Congress as part of an exhibit on the nation’s constitutional history and civil rights protections.

The documents come from gay rights pioneer Frank Kameny, who was fired as a government astronomer in 1957 because he was gay. The library is showing Kameny’s 1961 petition to the U.S. Supreme Court, contesting his firing.

Though it was denied, Kameny’s was the first petition to the high court for a violation of civil rights based on sexual orientation. He argued the government’s actions toward gays were an “affront to human dignity.”

51 $2B for rail projects, speed upgrades announced

By CHRIS HAWLEY, Associated Press

1 hr 43 mins ago

NEW YORK – Money designated for a now-canceled rail line in Florida was divvied up among nearly two dozen projects around the country Monday, heartening supporters but giving critics fuel to deride it as a diversion from President Barack Obama’s high-speed-train ambitions or as a simple waste of money.

The bulk of the $2 billion is to go the congested Washington-New York-Boston corridor, where $795 million in improvements should allow trains to run at 160 mph on a stretch where they are currently limited to 135 mph. Another $404 million will go toward increasing speeds to 110 mph between Chicago and Detroit.

“These are tremendous transportation projects and investments that America cannot do without,” Transportation Secretary Ray LaHood told reporters at a news conference in New York’s Pennsylvania Station, the nation’s busiest train depot. He delivered a twin announcement later in the day in Detroit.

52 Efforts to curtail private-sector unions faltering

By DAVID A. LIEB, Associated Press

2 hrs 8 mins ago

JEFFERSON CITY, Mo. – Not content to target only public-sector unions, Republican lawmakers in more than one-quarter of the states this year launched their most ambitious attempt in about generation to break up union shops in factories, offices and other private-sector workplaces.

But their efforts have largely faltered, in part because of opposition from fellow Republicans concerned that pushing too hard against unions could jeopardize other aspects of the pro-business agenda they staked out after strong statehouse gains in the 2010 elections.

Of the 14 states where “right-to-work” bills barring mandatory union fees were considered, only New Hampshire has passed the legislation, and it is uncertain whether Republican lawmakers can overcome an expected veto by the Democratic governor.

53 Feds launch investigation of NJ police department

By SAMANTHA HENRY, Associated Press

Mon May 9, 4:49 pm ET

NEWARK, N.J. – The Department of Justice announced Monday an investigation into allegations of excessive force, discriminatory policing and other violations by the police department of New Jersey’s largest city.

The move comes eight months after the state American Civil Liberties Union complained of rampant misconduct and lax internal oversight in the Newark Police Department, though federal and city officials said the ACLU’s petition wasn’t the main reason for the probe.

U.S. Attorney Paul Fishman said justice officials will also look into allegations of poor treatment of detainees in holding cells and will investigate whether officers have retaliated against those who legally observe, or record, police activity.

54 Court in Va. to hear US health care law challenges

By LARRY O’DELL, Associated Press

Mon May 9, 4:47 pm ET

RICHMOND, Va. – President Barack Obama’s health care overhaul will get its first oral arguments in federal appeals court Tuesday when a three-judge panel hears two Virginia cases – one that upheld the law and another that struck down its key provision.

Nine lawsuits challenging the law are pending on appeal, but the Virginia cases before the 4th U.S. Circuit Court of Appeals are the first to reach the oral argument stage. Thirteen cases have been dismissed with no appeal filed, and nine are pending in district courts, according to federal officials.

In the most prominent of the two Virginia cases, U.S. District Judge Henry E. Hudson struck down the health care law’s key provision: a requirement that individuals buy health insurance or pay a penalty starting in 2014. Thirty-one lawsuits challenging the law have been filed nationally, and Hudson – a 2002 appointee of President George W. Bush – was the first judge to strike down any of its provisions. Hudson left the rest of the law intact.

55 Vets oppose bill that raises health care fees

By DONNA CASSATA, Associated Press

Mon May 9, 4:12 pm ET

WASHINGTON – Health care fees for working-age military retirees would increase slightly under a defense bill unveiled Monday that drew fierce opposition from the 2.1 million-strong Veterans of Foreign Wars.

The Pentagon is reeling from health care costs that have jumped from $19 billion in 2001 to $53 billion in the latest budget request. Determined to slash expenses, President Barack Obama is seeking a boost in fees that have remained unchanged for 11 years.

The defense bill proposed by House Armed Services Committee Chairman Howard “Buck” McKeon, R-Calif., goes along with a small increase in the next budget but limits long-term increases by linking them to cost of living adjustments for retirees.

56 Caring for poor, hospitals reach brink of closure

By CARLA K. JOHNSON, AP Medical Writer

Mon May 9, 2:24 pm ET

CHICAGO – Two charity hospitals in Illinois are facing a life-or-death decision. There’s not much left of either of them – one in Chicago’s south suburbs, the other in impoverished East St. Louis – aside from emergency rooms crowded with patients seeking free care. Now they would like the state’s permission to shut down.

The institutions, which have served low-income people in the state for more than 100 years, represent a significant development that’s gone largely unnoticed as the nation climbs out of the recession. Many charity hospitals, already struggling with rising costs, are on the brink of failure because of looming budget cuts, increasing numbers of uninsured patients and a slow economic recovery.

“With economic downturns, you can finesse them for 12 months or 24 months,” said Jim Tallon, president of the nonprofit United Hospital Fund of New York, a research and philanthropic organization. “But now everybody’s used up all their tricks. That’s when people throw their hands up in the air and say we’re not going to be able to continue operating.”

57 Cyber-school students: Pentagon snubs our service

By SUSANNE M. SCHAFER, Associated Press

Mon May 9, 4:12 am ET

COLUMBIA, S.C. – Students graduating from the growing ranks of online high schools are running into a hurdle if their goal is to join the military: The Pentagon doesn’t want many recruits with non-traditional diplomas.

Many would-be soldiers like Ryker Packard, 17, of Fassett, Pa., say they weren’t aware the armed services have a policy of not taking more than 10 percent of recruits with a non-traditional high school diploma. Critics, including some in Congress, say the military is behind the times and point to the growth on online teaching and testing at all levels of education, including college degrees.

“It just grinds my gears,” said Packard, who wants to become an Army diesel mechanic after graduating from Pennsylvania’s Agora Cyber Charter School in June.

58 Schools may ban chocolate milk over added sugar

By CHRISTINA HOAG, Associated Press

Mon May 9, 3:18 am ET

LOS ANGELES – Chocolate milk has long been seen as the spoonful of sugar that makes the medicine go down, but the nation’s childhood obesity epidemic has a growing number of people wondering whether that’s wise.

With schools under increasing pressure to offer healthier food, the staple on children’s cafeteria trays has come under attack over the very ingredient that made it so popular – sugar.

Some school districts have gone as far as prohibiting flavored milk, and Florida considered a statewide ban in schools. Other districts have sought a middle ground by replacing flavored milks containing high-fructose corn syrup with versions containing sugar, which some see as a more natural sweetener.

59 Together, Phoebe and Tyler alerted us to a crisis

By DENISE LAVOIE, Associated Press

Sun May 8, 10:58 pm ET

BOSTON – Phoebe Prince was a recently arrived Irish immigrant, 15 and emotionally fragile, when high school bullying over two boys she dated apparently drove her to hang herself with a scarf in her Massachusetts home.

Tyler Clementi was an 18-year-old violinist with a bright future. He jumped off the George Washington Bridge into the Hudson River after his roommate at Rutgers University allegedly used a webcam to spy on his same-sex liaison.

They never met each other, but together their ordeals put a spotlight on the harm caused by bullying and helped strengthen laws to crack down on what had until then been treated as a rite of adolescence.

60 Japan won’t abandon nuclear power despite crisis

By MARI YAMAGUCHI, Associated Press

Sun May 8, 8:24 pm ET

TOKYO – Atomic power will remain a major part of Japan’s energy policy despite the ongoing crisis at one tsunami-crippled plant and a looming shutdown of another while its quake protections are improved, a government official said Sunday.

Deputy Chief Cabinet Secretary Yoshito Sengoku also said no reactors other than the three units at the Hamaoka power plant in central Japan would be shuttered over quake and tsunami concerns.

There is “no need to worry” about other reactors, Sengoku said. “Scientifically, that’s our conclusion at the moment.”

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